Microsoft product sales drop for the first time in 23 years
The decline in PC sales negatively affected the revenues of the largest IT company in the world. For the first time in 23 years since Microsoft entered the stock exchange, its revenue has declined . According to the results of I quarter. In 2009, a 6% drop was recorded, compared to the same period last year, to $ 13.65 billion.
Sales fell in all directions, except for the line of server products. Divisions of Vista (–16%) and online advertising (–14%) were especially affected. The second is due to falling prices, which also affects Google and Yandex.
Due to the crisis, PC sales have declined, and on netbooks there is either a cheaper Windows, or even Linux. If the transition to netbooks continues at the same pace, Microsoft’s financial well-being may be in jeopardy.
Microsoft’s profit fell 32%, but this is normal, because the additional costs of payments to laid-off employees are deducted from the profit. Over a quarter, 1,400 people were laid off - this is the most massive staff reduction in the entire 34-year history of the company. Another 3600 people plan to reduce until mid-2010.
Sales fell in all directions, except for the line of server products. Divisions of Vista (–16%) and online advertising (–14%) were especially affected. The second is due to falling prices, which also affects Google and Yandex.
Due to the crisis, PC sales have declined, and on netbooks there is either a cheaper Windows, or even Linux. If the transition to netbooks continues at the same pace, Microsoft’s financial well-being may be in jeopardy.
Microsoft’s profit fell 32%, but this is normal, because the additional costs of payments to laid-off employees are deducted from the profit. Over a quarter, 1,400 people were laid off - this is the most massive staff reduction in the entire 34-year history of the company. Another 3600 people plan to reduce until mid-2010.