Microsoft gains on Kinect and Office, but Windows 7 sluggish

Darren Allan

January 28, 2011

Microsoft has released the fiscal results for its last quarter, and they’re something of a mixed bag.

However, overall revenue for the quarter up to the end of December was $19.95 billion, which is a record for its second quarter earnings. Operating income and net income were $8.17 billion and $6.63 billion respectively.

Analysts remained somewhat unmoved, because Windows 7 sales were rather slow, the Inquirer notes. Also, Windows Phone 7 barely made any impact at all, with Microsoft’s new mobile OS apparently off to a shaky start.

Profits were driven higher by Kinect and Office. The Xbox motion controller shifted 8 million units in two months, 3 million more than Microsoft had anticipated.

Microsoft’s Business Division revenue grew 24% year-on-year, with Office 2010 apparently becoming the quickest selling consumer version of Office in history.

Kevin Turner, Chief Operating Officer at Microsoft, commented: “Business demand for our productivity and infrastructure products and cloud solutions is strong.”

“Office had a huge quarter, exceeding everyone’s expectations, and our roadmap for cloud productivity with Office 365 makes products like SharePoint, Exchange, Lync and Dynamics CRM even more attractive to our customers.”

Microsoft also noted that Internet Explorer 9 has become the fastest downloaded beta browser ever, with some 20 million folks giving it a go to date.

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