On 7/16/2014 4:41 PM, Temlakos wrote:
So what you're saying is, Microsoft makes no money, or even loses money, on OEM installations, and hopes to make all their money on those who upgrade existing hardware from one version of Windows to another. Or maybe on advertising through the Bing search engine.
In a word, no. Microsoft's financial reporting model has changed in the last couple of years, making direct revenue and earnings by product less obvious than previously. However, it is still the case that 70 percent of Microsoft's revenue comes from commercial and consumer licensing, and from those most of the company's profits derive. Other divisions taken together are profitable, though individual areas may still be investment rather than profit centers. To suggest that Microsoft is not making money on Windows and Office licenses is simply not true.
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