Xbox sales lift Microsoft revenues

Microsoft has reported “strong” growth in the last quarter of 2007, with Xbox 360 sales up 70% on the previous year. The company says its positive results were additionally boosted by demand for its Windows Vista software.

The company says the growth was driven by new “consumer focused offerings” during the quarter such as the Windows Home Server, new versions of the Zune media player and the next generation of Windows Live Online Services.

It reported overall revenue growth of 30% to $16.37bn (£8.26bn) and its net income rose 79% to $4.7bn (£2.37bn).

Kevin Turner, chief operating officer at Microsoft, says: “We continue to see healthy demand from both businesses and consumers in the US and our growth in emerging markets is especially strong.”

Microsoft’s positive outlook countered cautions from Apple and eBay earlier this week. Meanwhile, Nintendo has reported a 63% increase in profit as its Wii console outsold systems from both Microsoft and Sony.

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