Microsoft buoyant but Xbox takes a hit

Microsoft buoyant over profits but Xbox takes a hit
X no longer marking the spot?

Microsoft announced its fourth quarter earnings this week, posting nearly $17.4bn (£11 billion) in revenue.

The results were a surprise to analysts who were predicting a slump, but a strong quarter for Windows has managed to put some shine on the family silver – even wiping off the mucky fingerprints left by profit dips from both Bing and the entertainment division, which houses Xbox and Windows Phone.

Windows 7 still seems to be going strong managing a 4 per cent rise to $4.6 billion (£3 billion) - impressive, considering Microsoft was facing some rather negative financial folk predicting a 4 per cent decline.

Not doing so well is Bing, which is still a loss maker for the company. Revenues for the search engine dropped $784 million to $707 million (£440 million).

But the biggest surprise was the loss made by the entertainment division. Considering Xbox is always a money spinner, profits here dropped 16 per cent to $1.6 billion (£996 million).

On-going innovation

Given that overall Microsoft survived its fourth quarter intact, the company was upbeat about the figures, promising more to come in 2012, what with the launch of Windows 8.

"With an unprecedented refresh of the Windows product line... we expect to take share as businesses maximize IT infrastructure," said chief financial officer Peter Klein.

"Consumers will see on-going innovation in Xbox, Skype, Windows Phone and Bing. Our product portfolio is stronger than it has ever been."

When it comes to Windows Phone, Microsoft is promising "to bring Windows Phone to more people."

You can bring a horse to water…

TOPICS
Marc Chacksfield

Marc Chacksfield is the Editor In Chief, Shortlist.com at DC Thomson. He started out life as a movie writer for numerous (now defunct) magazines and soon found himself online - editing a gaggle of gadget sites, including TechRadar, Digital Camera World and Tom's Guide UK. At Shortlist you'll find him mostly writing about movies and tech, so no change there then.

Latest in Tech
Beats Studio Pro Wireless Noise Cancelling Headphones in Black and Gold on yellow background with big savings text
The best Beats headphones you can buy drop to $169.99 at Best Buy's Tech Fest sale
Ray-Ban smart glasses with the Cpperni logo, an LED array, and a MacBook Air with M4 next to ecah other.
ICYMI: the week's 7 biggest tech stories from Twitter's massive outage to iRobot's impressive new Roombas
A triptych image featuring the Sennheiser HD 505, Apple iPad Air 11-inch (2025), and Apple MacBook Air 15-inch (M4).
5 unmissable tech reviews of the week: why the MacBook Air (M4) should be your next laptop and the best sounding OLED TV ever
Apple iPhone 16e
Which affordable phone wins the mid-range race: the iPhone 16e, Nothing 3a, or Samsung Galaxy A56? Our latest podcast tells all
The Apple MacBook Air next to the Dyson Supersonic R and new AMD GPU
ICYMI: the week's 7 biggest tech stories from the best tech at MWC to Apple's new iPads and MacBooks
A triptych image featuring the Bose Solo Soundbar 2, Nothing Phone 3a Pro and the Panasonic Lumix S1R II.
5 trailblazing tech reviews of the week: Nothing's stylish, affordable flagship and why you should buy AMD's new graphics card over Nvidia's
Latest in News
L-mount alliance
Sirui joins L-Mount Alliance to deliver its superb budget lenses for Leica, DJI, Sigma and Panasonic cameras
Security padlock and circuit board to protect data
Trust in digital services around the world sees a massive drop as security worries continue
Samuel and Romy standing very close together in A24's Babygirl movie
Everything new on Max in April 2025, including A24's Babygirl and The Last of Us season 2
An AMD Radeon RX 9070 XT made by Sapphire on a table with its retail packaging
AMD’s secret weapon against Nvidia seems to be stock – way more RX 9070 GPUs are rumored to be hitting shelves than RTX 5000 models
Hacker silhouette working on a laptop with North Korean flag on the background
North Korea unveils new military unit targeting AI attacks
Seth Milchick and Kier Eagan's animatronic speaking in Severance season 2 episode 10
Apple TV+ announces Severance has been renewed for season 3 after that devastating finale