Want to know why Steve Ballmer wakes up in a sweat at night, screaming at the shadows and clutching his hogshead-sized heart? Look at this chart of year-over-year growth rates of Windows PCs since the iPad came out, put together by the ever nuanced Horace Dediu at Asymco. When the iPad debuted, it immediately killed the PC industry as we know it.
In fact, as Dediu makes clear later in his analysis, Microsoft’s doing so poorly in the PC market right now that even though the Surface was a flop, it’s still accounting for a third of all Windows revenues. Absolutely mind boggling.