Microsoft sees profits soar 35%

Microsoft has reported a 35% increase in profits for the first three months of 2010, buoyed by increasing sales of Windows 7 which has been backed by a multi-million pound “I’m a PC” advertising push.

windows7

The software giant says it made a net profit of $4bn (£2.6bn) and says it had also seen “strong growth” from its Bing search engine business and XBox Live. Sales hit a record $14.5bn (£9.4bn), up 6% on the same period a year earlier.

In the UK, Microsoft has invested millions into pushing its products using the “I’m a PC” advertising series. The ads now also showcase Internet Explorer 8, following the EU’s decision to force users to make their own browser choices, and Hotmail, its online e-mail service.

Microsoft says Windows 7 has proved to be Microsoft’s best-selling operating system to date after the disappointing Vista launch. Initial YouGov figures suggested its marketing had helped to boost interest in the product.

The company also recently decided to push its search engine Bing in the UK using TV ads and sponsorship of The Simpsons.

“Windows 7 continues to be a growth engine, but we also saw strong growth in other areas like Bing search, Xbox Live and our emerging cloud services,” says Microsoft chief financial officer Peter Klein.

“Business customers are beginning to refresh their desktops and the momentum of Windows 7 continues to be strong,”adds chief operating officer Kevin Turner.

Microsoft is the latest technology company to report earnings results.

Latest from Marketing Week

NOT REGISTERED? IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and opinion that will help you do your job better.

Register and receive the best content from the only UK title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work. The more we know about our visitors, the better and more relevant content we can provide for them. And, yes, knowing our audience better helps us find commercial partners too. Don't worry, we won't share your information with other parties, unless you give us permission to do so.

Register now

THE BEST CONTENT

Our award winning editorial team (PPA Digital Brand of the Year) ask the big questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we are your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Having problems?

Contact us on +44 (0)20 7292 3711 or email subscriptions@marketingweek.com

If you are looking for our Jobs site, please click here