Despite a momentary dive in Microsoft's stock price, which recovered today, there is little concern about Memphis being delayed until 1998. The consensus seems to be that erring on the side of stability is a good thing:

"I would rather that Microsoft hang back instead of releasing a product with rubbish code," Mike Francis, director of The Practice Engine Co. Ltd. said.

"It won't change my life if Microsoft is one or two months late," Michael Lindsay, a research director at KPMG in Denve said.

Analyst Tom Rhinelander of Forrester Research added: "Corporate users would actually probably like \[the Memphis delay\] because they haven't digested Windows 95 or Windows NT, so the slip isn't a bad thing at all for them."

Interestingly, Microsoft is claiming that Memphis is not actually late, since the company has never set a release date. "1997 is a goal, but again, \[we are\] aiming to have a stable product," said Microsoft spokeswoman Cara Walker. She confirmed that Microsoft told OEMs recently that Memphis would not be ready for Christmas 1997