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Chromebooks are Windows’ greatest enemy, Microsoft earnings reveal

(Image credit: Mike Moore)
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Microsoft just posted its second quarter 2019 financial results and almost everything across the board looks positive.

The company reported revenue of $32.5 billion and net income of $8.4 billion, which are both sharp increases over the company’s $28.9 billion in revenue and $7.5 billion net income from last year. 

Since last year, Microsoft reports that its Surface revenue has grown by 39% and gaming by 8% with a total 64 million active Xbox Live users during the holidays. On top of that, Intelligent Cloud revenue went up by 20%.

The only red spot on Microsoft’s earnings reports was a slip in revenue from Windows licenses. OEM Pro revenue went down by 5% this quarter and consumer licenses brought in 11% less revenue as well. 

Who's stealing Microsoft's business? The Chrome Caper

The software maker laid blame on continued pressure from the entry-level category, which we assume would be Chromebooks.

Considering Microsoft just released the Surface Pro 6, Surface Laptop 2, Surface Studio 2 and Surface Headphones just last quarter, we imagine and hope Microsoft will introduce another affordable product like the Surface Go

There’s a definite hole in the company’s product family for a truly affordable laptop and it could be what it just needs to fix the biggest weakness of its latest financial report. 

Kevin Lee

Kevin Lee is the Hardware and Roundups Editor at IGN Entertainment. Prior to IGN Entertainment, he worked at TechRadar.