The Server & Tools revenue grew by 12 percent for the fourth quarter -which is the fifth consecutive quarter of double-digit growth. Windows Server, System Center, and SQL Server continued to drive revenue growth in the segment. Windows and Windows Live Division revenue declined 1 percent for the fourth quarter.
Online Services Division revenue grew 17 percent for the fourth quarter and 15 percent for the full year, primarily driven by increases in search revenue. Microsoft search engine Bing’s US search share increased 340 basis points year-over-year to 14.4 percent this quarter. Microsoft also released new features that incorporate the Facebook social graph to help users make better decisions based on their social connections.
Revenue of Microsoft for fiscal 2010-11 was $69.94 billion, growing at 12 percent from the prior year. Operating income and net income for the year were $27.16 billion and $23.15 billion, respectively, which represents an increase of 13 percent and 23 percent, respectively, from the last fiscal.
Microsoft has estimated that its full year revenue growth was in line with PC market growth of 2 percent to 4 percent. Windows 7 has sold over 400 million licenses and business deployments continue to accelerate. During the quarter, Microsoft unveiled a preview of the next version of Windows, codenamed Windows 8, featuring a new user interface and application experience.
Some of the important achievements of Microsoft for this quarter have been Microsoft’s buying over Skype partnership deal for Windows Phone and a new set of Nokia devices. Microsoft also partnered with BT to launch integrated communications platform, Microsoft Lync.
Like its archrival Apple, Microsoft appears to be making plenty of money from the sale of consumer entertainment and tech devices, resulting in a 45 percent revenue increase for the company’s entertainment and devices division over the year,” said Richard Edwards, principal analyst, Ovum.
Microsoft announced that it had sold over 400 million Windows 7 licenses. As a comparison, an estimated 30 million iPads have been sold to date. This is good news for the Microsoft business partner ecosystem, as it signifies there is still plenty of opportunity for the provision of services and solutions in the desktop market,” Edwards added.
By TelecomLead.com Team
