back to article Microsoft doubles quarterly revenue drop

Microsoft has recorded its second year-on-year decline in quarterly revenue, more than double the size of the first crash it reported this spring. Revenue for the whole company fell by 17 per cent to $13bn for the three months ending June 30, compared to a six per cent drop of $13.65bn reported in April. Income for the fourth- …


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  1. James 20
    Gates Horns

    Crap software != good business plan

    One word:



    two words:

    Windows vista.

    Alright more words:

    Microsoft is clueless, led by the lackofclue meister in chief. They have existed in a world where monopolistic conditions enable them to force their crap software on an undiscerning public. Luckily for everyone the internet and the inevitable nadir of their incompetence: windows vista has turned the tide very much against them.

    Who knows, they might even have to start listening to their customers...

  2. Goat Jam
    Gates Horns

    Cry me a river

    They still make obscene amounts of money from their core monopoly income, even if it is down at the moment. Let me know when they are actually losing money, that'll be a great day.

  3. Hugh_Pym

    Does anyone her know...

    .. of anyone waiting for Windows 7? As far as I can see it will slot into the business upgrade cycle which always waits for the first service pack at least before even considering making a move and home buyer's new PC's, most of whom are too skint to buy the latest shiny-shiny. I recon this Christmas netbooks are going to be the big seller and even if they use Windows 7 Microsoft are not going to get big margins out of a sale.

    This time next year it's going to be another profit drop announcement.

  4. Michael 28
    Thumb Down

    msft..share price

    Currently 25.56 + 0.76....premarket 23.71 -1.85

    Low P/e ratio is keeping them up so far, (14.72) so they're unlikely to change overnight. But if they show the next two-three quarters like this , they could be in trouble.

    Hopefully they re-think their plans on support for AIM chips.

  5. Bill Norrie

    No surprise there then......

    Put a crappy operating system like vista on the market and word will get around very quickly, about just how 'good' it is, followed by a huge lack of sales. Will windows 7 be any better? I for one, will not be installing it on any of my PCs. XP is just about stable now but they are still releasing fixes for it, nearly 8 years after its release. I'll stick with the Penguin..........

  6. alistair millington
    Thumb Up

    ha ha ha ha ha ha ha

    The same rhetoric was said about Vista and that didn't materialise, the big phenomenal piece of software etc etc.

    However people were burned, and burned badly by Vista so there won't be the magic bullet they are expecting, it will be a dribble till SP1. If it isn't a dribble it is because of forcing people through the market place to get new equipement with Windows 7.

    As with Vista, let's see what IBM do...

  7. ThomH


    As a Mac user whose most recent Windows licence is 2000, I've preordered 7 to be able to mess about with all the latest .NET stuff through VMWare or whatever. The limited-time sale price and the 'E' releases that simultaneously dump IE (hooray!) and offer the full OS for upgrade-type pricing (useful if your old licence is extremely old) made me think it was a smart moment to flash some cash.

    So, ummm, technically I'm waiting for it.

  8. Anonymous Coward

    Error 404: Title not found

    Well, I recently upgraded from XP to 7, as I needed to install Inventor and Mechanical desktop. I dug around a bit, and I have to say, it's the nicest version of Windows yet. But that's like saying I've got a mildly less aggravating case of herpes. It's still a piece of shit. I had to copy over the install files, which would take about twenty minutes. Meanwhile, one window after the other became unresponsive, so I tried to kill the explorer window that was causing the problem. Did nothing, so I killed the explorer process, which was then unable to restart itslef (XP always did that, at least). So I tried to log out through the vulcan nerve pinch, but the system just hung. Not well hung, just a shrivelly turgid flaccid hanging thing. If MS thinks this is going to save their bacon, they can forget about it. The only reason people think 7 is better than Vista is because the latter did indeed suck much worse, but the new one is hardly a panacea.

  9. Michael 28
    Thumb Down

    fair sized drop

    Currently 23.03 -2.53

  10. Cantankerous Old Buzzard

    The best part

    "Of Microsoft's five business units, it was the core Windows client that

    was the biggest drag on performance."

    For once, the technical and financial arenas are in sync. ;^P

  11. Anonymous Coward
    Jobs Horns

    See that red patch on my shirt.....

    That's my heart bleedin' that let's just hope that their still not inconsiderable profit becomes a significant loss and they get bought out and sold off in bits.....

    Balmer....coz it could'nt happen to a nicer bloke.....twat!!

  12. Michael 28


    23.47 +0.36


    Div/yield 0.13/2.22

  13. Tom Stone

    Windows 7 is better but not enough

    Win7 will probably do somewhat better than Vista with their corporate customers but the real problem is cost.

    Corporations are loathe to spend money on something that shows no real benefit. WinXP suits them just fine and it runs everything well enough to get by. Win7, like Vista, is too expensive to upgrade, implement, and support because it requires new training, software upgrades, time, and the desire to do so. None of which companies are willing to do right now.

    If Ballmer had a brain, he would come out with New XP with the following enhancements:

    1) Large memory support in the 32bit version (If Linux can do it, Microsoft can)

    2) Make real improvements to the interface and forget crap like Ribbons and Clown Colors.

    3) Improved video support and updated Direct X like Vista has.

    4) Improved networking stack. Vista attempts this but the interface is horrible.

    5) No 3rd party obsolescence. Don't purposefully break 3rd party products just to force companies to buy all Microsoft. (They did this in the past and got caught, they will do it again.)

    It would be an instant winner with end-users and companies. Microsoft would bury any competition and extend their desktop monopoly, unfortunately. The good thing is...Microsoft doesn't listen to their customers let alone read my comments so they will eventually fail. That will be the best thing to happen to computing.

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