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Regarding Microsoft, the PC can Die Another Day  


Microsoft roared to record sales of its latest quarter with its Windows and Office franchises of the stage like old faithful friends. Approximately 175 million licenses of Windows 7 have been sold since the product launch last year, making it the fastest selling version of Windows. In addition, consumers and businesses have increased their purchases of Microsoft software, which reflects a cycle of major upgrade PCs took over.

"They do well in all areas," said Sasa Zorovic, an analyst at Janney Montgomery Scott.

Earlier in the week, Apple posted quarterly revenue of $ 15.7 billion, sales of its phones, music players and computers continue to skyrocket. The company has almost doubled its turnover over the last two years. Analysts on Wall Street wondered if the total Apple might be too high for Microsoft, scoring a symbolic change of the guard from a PC-based computer literacy gadget engine and a new chapter in the tumultuous history of the two firms.

But not so fast.

total revenue of 16.04 billion Microsoft dollars to over $ 15,270,000,000 expected by analysts surveyed by Thomson Reuters and came on sales growth of 22 percent.

In addition, Microsoft announced an increase of 48 per cent of net profit to 4.52 billion, or 51 cents per share, against the sum of 3.05 billion, or 34 cents per share for the same period last year. Analysts had forecast earnings of 46 cents per share.

For the full year, Microsoft reported an increase of 29 per cent of net profit to 18.76 billion dollars and an increase of 7 per cent of the turnover of 62.48 billion dollars.

All told, sales of Microsoft achieved a record company and industry reflects a health technology has benefited from recent increases in business expenses.

"We are encouraged by the resurgence of corporate PC shipments," said Peter Klein, the CFO of Microsoft, in comments to analysts on Wall Street.

But the positive results of the corporate market have not been accompanied by the results of Microsoft Research, entertainment and mobile technologies.

Sales of Microsoft Windows rose to $ 4.55 billion from 3.17 billion in the corresponding period last year, while sales of office products and other revenue rose to 5.25 billion dollars to $ 4.57 billion.

"Consumers are still buying Office when they are refreshing their PCs," said Katherine Egbert, an analyst at Jefferies & Company.

Comments Updates PC reaffirmed optimism that the leaders of other technology companies have expressed in recent weeks.

For example, Intel, the world's largest manufacturer of microprocessors, has recorded the highest revenue in its history earlier this month. The leaders of Microsoft and Intel said they expect to update PC to continue over the next year.

In addition, both companies have benefited from the improvement in the best interests of their products without profit data center. Once again, a situation in which large companies have moved to improve their infrastructure.

The PC side, Microsoft continues to face a flood of criticism about its efforts to research, and entertainment devices.

During the fourth quarter, Microsoft online services group lost $ 696 million, while its entertainment group and appliances lost 172 million dollars. The group includes the online search engine Bing, who is competing with Google, while the Xbox game console and mobile phone products are part of the entertainment and devices segment.

"Everyone thinks they're going to spend much money to be relevant to the research and that's exactly what they're doing," said Ms. Egbert. "I do not think that anyone buying the stock because of Bing. http://jodnet.blogspot.com

In an embarrassing turn, Microsoft has its range of smartphone scrap Kin, who had been under development for nearly two years. The company has sold fewer than 10,000 of these devices, whose purpose was to attract a younger crop of customers with a flashy social networking software.

And while the Xbox is a success from a point of satisfaction of customers and innovation of view, it does little to lift the bottom line of Microsoft, Mr. Zorovic said.

Microsoft blunders consumers have been intensified in the public eye by the success of Apple with the iPhone and Apple's share price soaring.

Steven A. Ballmer, Microsoft CEO, has been heavily criticized in recent weeks for Microsoft stumbles.

"The hardest thing for Microsoft is not coming up with good products, but rather to come with the right business models," said Mary-Jo Foley, editor of All About Microsoft blog. "How people receive money from business software and consumer software is just very different now."

Ballmer did what Wall Street has requested through a series of layoffs and cost cutting, said Ms. Foley.

"Is Steve Ballmer fire will magically lift the stock price?" Said Ms. Foley. "I do not think it is, and I do not know who that person the magic is that people are coming to fix things."

Shares of Microsoft rose 72 cents, or 2.87 percent, during regular trading Thursday at $ 25.84. In after-hours trading, after the publication of the quarter, shares of Microsoft fell 0.58 percent to $ 25.69.


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