In the battle between the Economy and the Tech Industries, looks like even the biggest warrior like Microsoft could not avoid the inevitable. With the sales of PCs steadily declining, it's very clear that Microsoft's profit should have also declined. What's shocking is that Microsoft has never seen a decline in profit for the past 23 years since it's establishment. That's right, for the first time in 23 years, Microsoft has posted a drop in sales and revenue. According to the press release, "Microsoft Corp. today announced revenue of $13.65 billion for the third quarter ended March 31, 2009, a 6% decline from the same period of the prior year. Operating income, net income and diluted earnings per share for the quarter were $4.44 billion, $2.98 billion and $0.33 per share, which represented an increase of 3% and declines of 32% and 30%, respectively, when compared with the prior year period". But Microsoft was aware of this result and several initiatives were carried out to handle the situation which includes a plan to reduce up to 5,000 positions. However, with it's upcoming products like Windows 7, Office 2010, Windows Mobile 7, Surface, etc, Microsoft is looking very strong to compete and gain in the industry. Hit on the read link for the official press release.
Read - Microsoft Reports Third-Quarter Results
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