MSFT's Win8 Gamble

Even when it was launched, Windows 8 was seen as a gamble — but one that Microsoft had to make.

The stunning, out-of-nowhere success of tablets was making the PC look stodgy and out-of-date, so Microsoft had to show that Windows could still be relevant beyond its traditional desktop home. The company's response was Windows 8, with its colourful tiled interface and the emphasis on Windows as a touchscreen operating system for a new age of computing — a bet-the-company move, according to then-CEO Steve Ballmer.

To reinforce the shift,  Microsoft even developed its own new PC-tablet hybrid, the Surface, to show off the potential of the new operating system.

But despite — indeed, in many cases because of — these innovations, the reception to Windows 8 was lukewarm at best, forcing Microsoft to deliver a rapid update in the shape of Windows 8.1.

In February this year, Microsoft revealed 200 million Windows 8 licences had been sold in the first 15 months after its launch. In contrast, its predecessor Windows 7 sold 240 million in its first 12 months. Microsoft has not released new Windows 8 sales figures since then, other than to say it continues "to see momentum" around the OS.

Already, Microsoft is drawing a line under Windows 8. It was only on sale for two years at retail, until the end of last month. That's a much shorter period than Microsoft's previous operating systems, although Windows 8.1 is still available.