October 22, 2010

240 Million Copies Of Windows 7 Sold In First Year

Microsoft said on Thursday that its Windows 7 operating system has sold over 240 million copies in the first year, helping the software giant to record profits despite a recent dip in computer sales growth.

The new software was launched a year ago this week to supersede Windows Vista.  The operating system can cost anywhere between $80 for a simple upgrade to $320 for the top of the line edition.

Microsoft still controls 90 percent of the world's 1.4 billion personal computers, although Apple Inc.'s OS X operating system has gained more market share in the past few years.

Tami Reller, chief financial officer of Microsoft's Windows unit, said that about 89 percent of companies are planning to use Windows 7.  Companies usually delay changing over their operating systems because they have to go through more testing to ensure they work with existing software.

Microsoft reported $62.5 billion sales last fiscal year, which is up 7 percent from the year before.  The Windows unit is still Microsoft's core revenue, providing over one-fourth of overall sales and just over half of its profit.

The software giant is expected to report higher fiscal first-quarter earnings next week, but Microsoft sales may disappoint investors slightly.

According to research firm IDC, PC sales rose only 11 percent in the July-to-September period compared to 22 percent in the three months before that.


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