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Friday, April 27. 2007

Vista boosts Microsoft's profits

We were just discussing this week that maybe MSN would soon see some more trouble due to Vista's deficiencies and the fact that Dell and others decided to also offer Linux. But as if Bill overheard our discussion and wanted to show us differently MSN announced a 65% jump in fiscal third-quarter earnings thanks also to some Vista coupons that they distributed back in 2006. As the WSJ (subscription required) writes:

But a hefty chunk of the third-quarter revenue was deferred from the quarter ended in December, when the company issued coupons to personal-computer buyers that could be redeemed for Windows Vista this calendar year.

The online business (search, advertisement) grew as well but less than the overall market and its number one competitor Google. The division is even losing money (200 million USD) but seems to be in for a long "3-5 year strategy game". "It's a long game and we are going to have to invest ahead of a three to five year strategy", they said.

Defined tags for this entry: Microsoft, Vista

Posted by Ralf Haller in ICT Tech/Market News at 05:19 | Comments (0) | Trackbacks (0)

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