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Microsoft shuffles revenue to inflate Windows sales?
It's reported that Microsoft moved around $259 million to the Windows group, bumping the total revenue by 6.5% to $4.24 billion. With that unexplained maneuver stacked on top of the company's $1.5 billion deferral for a Vista to Windows 7 upgrade promotion, Windows sales actually increased 11% on-year instead of the touted 66%.
Microsoft declined to comment on how the company's Windows division gained the extra $259 million. As Information Week notes, 11% isn't bad, but it's on par with expectations for overall PC market growth. Also, for what it's worth, Net Applications' numbers suggest that Windows has lost over 1% of the OS market since last December.
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User Comments (9)
Post a comment|
KG363
on November 15, 2010 7:43 PM |
This is sad news to me |
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mario
on November 15, 2010 8:18 PM |
Now imagine it said Apple instead of Microsoft. Start the flame war! |
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UT66
on November 15, 2010 9:01 PM |
Microsoft. 100 thousand divisions building one big mess. but they do like to add. |
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fwilliams
on November 15, 2010 9:19 PM |
good thing cooking the books is legal or else Microsoft might have to bribe some more people |
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Guest
on November 15, 2010 9:19 PM |
Now I know why I didnt buy the stock. |
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gwailo247
on November 15, 2010 10:59 PM |
Keeping a market share of 90%+ is pretty impressive no matter how long you do it. Its just inevitable that their market share has to drop. Since OS appears to be the new Ford vs Chevy debate, you're going to polarize people. |
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Archean
on November 15, 2010 11:50 PM |
Good to see that accounting processes / practices of big companies in IT are coming into light as well. I think to clear the air, MS should explain what compelled them to do it, there is nor harm in such clarity IMO, it should only add to trust/goodwill which in the end is the most important assets of any business. Anyone is more likely to survive financial crisis, but not trust deficit. |
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ucould2
on November 16, 2010 7:19 AM |
I noticed just a day or two ago when I evoked interest in buying a Garmin A10 Nuvifone. When they arrived on the scene at the beginning of the year (February) they were offered with Windows 6.5 UI. Now both versions (A10 and A50) of the Garmin Asus phone come with Andriod 1.6 Donut. And the only place you see the Windows 6.5 is on cheap Chinese nock-offs. 259 million is a lot of phones to sell on deferral, even to the whole population of China |
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nazartp
on November 16, 2010 10:14 AM |
Archean said: Good to see that accounting processes / practices of big companies in IT are coming into light as well. I think to clear the air, MS should explain what compelled them to do it, there is nor harm in such clarity IMO, it should only add to trust/goodwill which in the end is the most important assets of any business. Anyone is more likely to survive financial crisis, but not trust deficit. I, actually, spent some time looking at the quarterly report - nothing shady there. Deferral of revenues and internal shake-ups are nothing new in the business world. In fact the deferral of revenues is a requirement on revenue recognition. And the way the revenue is recognized is, at least partially, driven by who within the company oversees what revenue streams - their bonuses are tied to those numbers. One thing people should look at - overall company revenues grew about 25% year-on year. Given how shitty the economy is, that's remarkable. |
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