Ballmer: economy is rebooting

 

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By Barry Collins

Posted on 17 Feb 2009 at 10:13

Steve Ballmer says the economy isn't just in recession - it's undergoing a fundamental reset.

Speaking as Microsoft launched Windows Mobile 6.5 at the Mobile World Congress, the Microsoft chief executive painted a gloomy picture of the economic crisis.

"I think this is a super interesting time to talk about the mobile industry," Ballmer said at the company's press conference.

"We are really trying to figure out how to respond to the global economic downturn. I have said before that what we are going through is more of a fundamental economic reset, as opposed to a recession."

Microsoft is better placed than many to ride out the economic storm. The company posted a profit of more than $4 billion in the last quarter alone, with corporate licensing deals sparing the company from the worst of dire consumer PC sales.

That didn't stop Ballmer announcing 5,000 job cuts over the next 18 months, however, including posts in Microsoft's much-treasured research and development labs.