Microsoft Windows sales way down

Microsoft’s Q1 2008 earnings report came out and saw a 24% drop in sales versus this time last year.  The culprit: Windows sales have shriveled up.  It’s no surprise with this lackluster economy and poor consumer acceptance of the new(er) operating system Windows Vista.  There’s still a big consumer fan-base for Windows XP that refuse to switch over.  Now, with XP Service Pack 3 just days away from official release(April 29th), all the reason for XP users to not even bother with Vista at all.  Quite possibly wait it out until the Windows 7 release in 2010.

On a lighter note, Microsoft Office is still doing fairly well, but has suffered a bit with the continued roll out of online applications such as Google Apps.  Additionally, the entertainment division(Zune & Xbox), is up 68%.  The bottom line for Microsoft’s total income is down 11% from the previous year.  Microsoft has its work cut out for them.  The market is shifting and they must change with it to survive.

2 comments so far

  1. Ajay April 26, 2008 3:07 am

    if microsoft is developing os like vista then sales will definatly fall down.
    it really a very bad os

  2. xlinuks April 27, 2008 4:14 am

    Zune will fade out gradually as Android comes out this year, IHVs are already lined up for Android.
    SP3 for WinXP is probably the biggest nail into the Windows Vista coffin.
    By 2010 Linux Ubuntu manages to deliver another 3 to 4 releases, it already installs/uninstalls software easier and better than Vista/XP, it also has (much) better 3D desktop effects (really cool ones), safe internet browsing (forget spyware and viruses), not to mention other features. I wonder how much better Ubuntu gets by 2010 and what will windows 7 have to offer to actually choose and pay for it rather than just enjoy the faster-developing Ubuntu Linux.

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