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As noted by The Guardian, Microsoftsran through to December, at which time the company could claim this deferred revenue of $1.1 billion. Even without the boost, however, Windows revenue reached $4.60 billion, slightly less than the $4.63 billion a year ago.
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Chris Suh, Microsofts general manager for investor relations, revealed revenues were boosted by non-OEM growth from users who boughtWindows upgrade licences, from companies who bought volume licences and from sales of its homemade Surface tablet.
Non-OEM revenue grew 40% this quarter, driven by sales of Surface and continued double-digit growth in volume licensing, said Suh. Businesses continue to value the Windows platform, and volume licensing of Windows is on track to deliver almost $4 billionin revenue this year, and nearly three-quarters of enterprise agreements that we signed this year include Windows.
Microsoft didnt announce sales numbers of itstablet, although analysts suggest the company sold an estimated 1 million to 1.5 million units. The Guardian believes that margins might have been thin but the revenue boost would be solid. It is estimated that Surface sales could have boosted Windows revenue anywhere from $500 million to $1 billion.
Subtracting the $1.1 billion in deferred revenues and at least $500 million for Surface sales, Microsofts Windows division is left with revenues of $4.1 billion, a 12% decrease year-over-year and close to the PC industrys 13.9% drop in the first quarter.
So despite its successes with Windows upgrades, Microsofts revenues could suffer greatly if the PC industry cannot rebound and sales of the Surface tablet remain flat, especially now that it doesnt have the help of its now .
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