Microsoft posts best revenue growth since 1999 despite Zune, Vista
By Nelson Ireson
The software giant from Redmond posted a massive 27% year-on-year increase in first quarter revenues over 2006, despite lackluster Zune sales and the widespread dissatisfaction with Windows Vista.
Apparently the dissatisfaction with Windows Vista is not as widespread as it seems, however. Growth in customer demand for the company’s latest OS continued at double-digit percentages, mostly on the back of multi-year corporate agreements. Also, most consumer-level purchasers of the OS seem to be focusing on the top-of-the-line Premium editions. No doubt the Halo 3 launch also helped score the record numbers.
The Zune media player, which has been negatively compared with Apple’s iPods since its introduction a year ago, hasn’t sold particularly well. The most recent iterations have been criticized for lack of video-out functionality.
Nevertheless, Microsoft posted Q1 (of its fiscal year) revenues of $13.76 billion for the period ending September 30, 2007. Whatever your stance on Microsoft or its products might be, it’s clearly doing something right.
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October 26th, 2007
Wow… taking even good news and figuring out a pessimistic title for it. Impressive. Doubly so, given that Windows Vista sold very well, and is responsible for that quarter with the best revenue growth since 1999. But then, titling it honestly wouldn’t be sufficiently anti-MS. Gotta keep the bias constant.
October 27th, 2007
I agree Wes. The headline should have been ‘Best revenue growth since 1999 because of Vista!’
October 31st, 2007
The Zune tanked? lol They met their projected sales goal and were the number two player last holiday season. How is that tanking? I guess fanboyism is an incurable disease.