twitter's Journal: Investors Doubt M$'s $2.5 Billion Internet Service Plans.

M$ is still talking big despite their failed Yahhoo takeover, staff and earning problems. They plan to spend $500 million to promote Vista and $2.5 billion on internet services, particularly search, but investors are not buying it.

"The average investor believes that every dollar they invest is going to evaporate,'' UBS AG's Heather Bellini, the top software analyst in an Institutional Investor survey, said in an interview with Bloomberg Television from the event. ``None of us really believe that a plan B that the company has is really credible.''

"There've been billions invested already and, at best, it's left Microsoft as an 'also-ran' in the space,'' said Loomis Sayles & Co. analyst Tony Ursillo in Boston. The firm manages more than $135 billion and owns Microsoft shares.

Microsoft fell 83 cents to $25.60 at 1:59 p.m. New York time in Nasdaq Stock Market trading. The shares had fallen 26 percent this year before today, twice as much as the Standard & Poor's 500 Index.

Annoyingly, they will be serving Facebooks ads. They still have less than 10% of the search market, despite their cheesy offer to pay people to use their search.