MicroHoo, or StupidSoft?

At a time when Microsoft is busy fighting proxy wars, trying to make $40 billion acquisitions, and being fined with $1 billion in fines by the EU(more non-compliance stuff...it's getting boring now), I find myself quite taken aback to hear Craig Mundie, Chief Research and Strategy Officer at Microsoft, saying things that could best be described as borderline idiotic.

The article in question is at the Washington Post.

Quotes:

1) "If we didn't succeed at the PC, they[GOOGLE] wouldn't have a business".
Okay, I need to show Craig Mundie this picture:


It's a picture of Herman Hollerith, and if Hollerith didn't succeed at punched cards(sometime in 1800), Microsoft wouldn't have a business.

2) "I don't think they can do anything we can't do"
Oh yeah? Let's see....better search, better email, an arguably better chat program, to name a few.
Where's your blogging platform acquisition, Craig? What happened to MSN Spaces? Can you get my enterprise connected without my having to deal with Active Directory?
What are you talking about? They do quite a few things you do, and they do it better.

3) "I'd like to think we're strategically open-minded, we've made adjustments [to our business model].
I'd like to see Google and someone else come up with something that really threatens our business model."
Hm. Check this graph out, Craig.


I'd like to think you're strategically saturated(ie. out of options), and that the adjustments you've made to your business model since 2002 have not helped you grow. And apparently, there was room for growth(see sharply rising red line..).
As far as someone threatening your business model goes, no one really gives a hoot about your business model, Mr. Mundie. It's inapplicable and obsolete.
And what's with the "I'd really like to see..", bit?? We both know that's a big, fat lie if there ever was one.

4) "They're sort of late to the cell-phone thing"
Well, they were sort of late on the search-thing too. And the Internet advertising thing. And the web-based e-mail thing. And the chat thing. What's your point, buddy?

--

Yeah, I'm really wondering about this Microsoft-Yahoo deal. A lot's been said, and hypothesized, but when the chief of strategy at Microsoft says really strange(dumb) things, I wonder if we will actually get to see the grand acquisition that will turn into MicroHoo, or if we will see Microsoft lose out on this bid and be made to look like StupidSoft?