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Microsoft's FY17 Q2 earnings show $24.1 billion in revenue, cloud growth

Microsoft has released its earnings report for FY17 Q2 (opens in new tab), revealing $24.1 billion in revenue and $5.2 billion in net income. That's up slightly from the same quarter a year previous, in which Microsoft pulled in $23.7 billion in revenue and $5 billion in net income.

Here are some highlights from the release:

  • Revenue was $24.1 billion GAAP, and $26.1 billion non-GAAP
  • Operating income was $6.2 billion GAAP, and $8.2 billion non-GAAP
  • Net income was $5.2 billion GAAP, and $6.5 billion non-GAAP
  • Diluted earnings per share was $0.66 GAAP, and $0.83 non-GAAP

A large contributor to Microsoft's growth this quarter is due to its cloud business, which saw increases across the board. In particular, Intelligent Cloud revenue, which encompasses Azure, enterprise services, server products and cloud services, was up 8% overall. Meanwhile, revenue in Productivity and Business Processes, largely consisting of Office and cloud services offerings, was up 10% in total. Interestingly, Microsoft says LinkedIn contributed $228 million in revenue since its acquisition closed on December 8.

On the other side of things, revenue in what Microsoft labels "More Personal Computing" was down 5% to $11.8 billion, in large part due to an 81% decrease in phone revenue. Gaming revenue also decreased by 3% as Microsoft saw lower Xbox console revenue, but higher Xbox software and services revenue. Interestingly, Xbox Live's active users for the quarter grew 15% to 55 million. Lastly, search and advertising revenue rose 10%, while Windows OEM and Windows commercial products and cloud services were both up by 5%.

As usual, Microsoft will be holding a conference call and webcast at 2:30 p.m. PT / 5:30 p.m. ET at its investor site (opens in new tab) to discuss the earnings.

Dan Thorp-Lancaster is the Editor in Chief for Windows Central. He began working with Windows Central as a news writer in 2014 and is obsessed with tech of all sorts. You can follow Dan on Twitter @DthorpL and Instagram @heyitsdtl. Got a hot tip? Send it to daniel.thorp-lancaster@futurenet.com.

121 Comments
  • Now invest some money into your mobile strategy!
  • Only if that means creating mobile PCs, i have no interest in another Windows Phone that doesnt run Win10 on ARM
  • I agree with you. I believe "Windows 10 Mobile" has its days numbered. I also believe the only way to survive and thrive the mobile vision is full Windows 10 on ARM.
  • Which would be nowhere if they didn't have an Windows 10 SKU already running on mobiles.
  • If I'm explaining it right, W10M will become just a shell of Windows on small screen devices. If the foldable screen device is gonna happen, while folded it'll behave just like W10M, then look like W10 on ARM when the device is unfolded
  • My perception is when folded and not folded behave like tablet mode in W10 and only when docked behave like legacy W10
  • This^, especially since the windows team seems to neglect windows a lot. With Windows 10 on ARM. Both will have the same features at the same time hopefully.
  • Generating so much money, wish they plan a huge push!
  • I'm curious if Surface Phone will be more expensive than Galaxy S8, both will be spectacular, both will have Continuum docks, and both will be the first phones to allow a PC replacement for productive users.
  • Only one company can replace the PC and that is the company that created it...Microsoft. Chrome OS is a sad attempt at a real OS. Surface Phone will blow it away from a productivity standpoint.
  • I agree but Samsung has the potential to get a stranglehold on mindshare since very little know Continuum exists and I am sure Microsoft wont launch their Surface mobile device early if it isn't ready. What they should have done was show off Continuum more with the current phones that support it. So when Samsung makes their huge splash with the Galaxy S8 and their version of Continuum, it would be a me-too product rather than an Apple-style moment of "we did something incredible!" even though it already existed. I like many others would love to see this phone decline get reversed/
  • Well there are 2 limitations there. #1, its Samsung only and not the OS (Android) for other OEMs. And #2, it won't be more than docking a phone on a monitor. Most of the people that use that feature will not and cannot replace their PCs. We, however can totally replace it. I'm looking forward to it big time.
  • You are assuming Samsung isn't using Android Free Form. The Galaxy S8 would be the perfect place for them to launch Free Form.
  • It won't work without Android at all for many reasons. Instant app gap, google has to play nice with them and not like MS, and there is no ecosystem at all with other form factors.
  • I am not sure what you are saying, but let me take a shot... Samsung just released their new Chromebook that can install Android apps. Those same apps will definitely be available to the GS8 in desktop mode. Adobe has already started optimizing their mobile apps for it. Adobe is optimizing its Android apps for Chromebooks https://www.androidcentral.com/adobe-optimizing-its-most-popular-android... It won't be able to replace Photoshop for professionals, but for the average consumer it will be more than enough. With the release of the GS8, Samsung will also be able to bring more developers onboard. I am not that convinced though that Continuum or DeX or whatever is a compelling feature, but if anyone can make it popular, it is Samsung.
  • Ok sorry, miscommunication. I thought you were suggesting Samsung switch to there own Tizen OS. Yeah what you are saying is true, but Chromebooks in my opinion can never fully replace a PC. It will look gimmicky but nothing like what Microsoft can offer. They just need to get serious about it. Microsoft has proven they can make killer hardware with the Surface Brand and they have already proven that full Windows 10 can run on ARM. They just need leadership!
  • On one hand we say Chromebooks will never be powerful as PCs, true, but when we talk abt continuum based phones we say that most ppl dont even need a powerful pc.
  • That's the thing. Apps. People care about apps, not whether you can do more. The average person would be sold on a Galaxy S8 that could take full advantage of the Google Play Store and work as a desktop when docked. Especially students strapped for cash (single device vs multiple). Microsoft understands there is a market for it but failed consistently to market the feature. That part I cannot seem to understand. Phone revenue will continue to drop YOY because of these consistent missteps. Samsung sees Microsoft's flaws and will serve them a potent dose of complete irrelevance in mobile besides Surface Pro, Book, and Studio. Hell, now that HP, Alcatel, and Acer have Continuum capable devices, Microsoft could have done some heavy marketing of Continuum without their own device.
  • You are correct about everything but that won't work for people who use real PCs like me and hundreds of millions. Like I mentioned before its a nice gimmick but I will ONLY get rid of my PC for something that can replace it 100% not just browsing and documents.
  • This certainly won't replace the PC for professional creators, but no one is claiming it will. If the web browser is adequate and it has some decent apps, it could be a good desktop for casual users. I am skeptical of even that though. Putting your phone in a dock is probably too much for most people! How do you take a selfie with your phone in a dock?!
  • Same way people did it with laptop webcams for so long. Tilt head, make duckface, and apply ****** filter.
  • *sidenote* I think profanity filter should be removed if there are going to be articles about VR Porn. Just sayin...
  • Absolutely agree.  I may be the only one in here who thinks so, but I think it's disgusting that WC has started putting VR porn articles on the site.  I'm about ready to stop coming here because of that, and I certainly am not going to share WC links any more.  
  • Well they are talking about wireless dock do the phone is independent. I see it working
  • so surface phone is not for you ;)
  • instead of marketing they repeatedly went to media to shout that we lost the mobile race, effectively throwing their partner oems under the bus, except for WP enthusiasts no one else is looking to buy those devices.
  • Now app on on laptop is a thing? If people don't use apps on windows based laptop why people want to use apps on chrome base laptop?
  • Well played and probably right.
  • Because of app availability. These are regular end-users we are talking about which are the mass majority. If someone is posting on a website like this, chances are you are an enthusiast. We think differently than regular end-users. If SnapChat popped up on chromebooks, then the younger population would have been snagged. Certain apps are definitely ideal for mobile while the only benefit for laptops/desktops is push notifications.
  • If WP users who knows about Continuum and want it to succeed has not really been convinced, I can't see it succeed on a diluted version on Android at all.
  • difference will be apps.
  • Continuum at the moment is useless, once legacy happens that may change but currently I don't see a point in Continuum because the vast majority of businesses use custom software, and that software is designed for the desktop OS.
  • I agree enterprise is not where continuum needs to be. It's with consumers who have true personal computing.
  • They haven't spared even a dime on mobile since releasing the 950s. Not one bit of marketing.
  • This is a major issue on their part. I don't see how they could have even thought that releasing two products (950/XL) without marketing them would even result in breaking-even at the least. Since there have been a lot of companies saying that they don't think Microsoft cares about their own platform, I bet they are now wishing they would have done things differently. They could have maintained and even gained more. They didn't just shoot themselves in the foot, they took some toes with that shot. Now they need to figure out whether they want to take care of the bleeding foot or allow gangrene to set in resulting irreversible damage throughout the foot and possibly leg.
  • We need to remember the state of Win10M (and the phone firmware) when those two devices shipped.  The phones were hugely buggy, and it wasn't for a good 6-8 months IIRC that they became somewhat reliable.  Throwing millions at a marketing campaign for them would have cost MSFT twice, once for the campaign and again for all the returned devices.   Just conjecture, but I think that MSFT leadership was horrified at the state of Win10M when the 950's shipped, and decided to just leave bad enough alone.  It can't be a coincidence that Belfiore went on gardening leave right before the Win10M launch.  My guess is that he overpromised and way underdelivered.  Unfortunately for MSFT and Windows Mobile, Win10M was a massive failure.  Again, just a guess, but it does appear that the UWP platform also was hugely underfeatured and not ready for prime time. Throwing good money after bad would have just compounded the problem.  
  • Jackie Earley; Agree and should have kept the Nokia staff that it paid all that money for. Yes, they had a grand plan but it was unnecessary to cut an experience staff who was actually growing the Lumia market and to think they cut the staff before they can work with the 950/950xl was a decision Microsoft themselves made and I believe it was really a mistake for the reason that the staff could have help provide the insight and wisdom in the direction of building the platform that would have growth in the mobile sector and actually attract more OEMs.
  • And what should they be marketing exactly? A 14 month phone with very limited supply?
  • You guys have a one track mind.
  • Every quarter the "More Personal Computing" division's revenue goes down largely because of a decrease in phone revenue, which is strange because if it goes down 70-90% every quarter it should be irrelevant by now...
  • Yeah, compared to the Surface income, phone is insignificant now since the Lumia line was sacked and only the remaining inventory sold
  • I was in the local MSFT store today.  There are no phones for sale anywhere in the store.  When I was last there, a month or so ago, they had them tucked in a corner at the back of the store by accessories.  Now, they're totally gone, nowhere to be seen.   EDIT: Except for a single display of an HP Elite tethered to the laptop docking unit, as part of a larger HP business devices display.  
  • Nice, even Linked In produced 200 million dollars of black numbers, the only red numbers were from mobile.
  • The numbers attributed to LinkedIn were revenue, not profit, so you can't say if it was in the black or red.
  • Isn't Surface revenue part of More Personal Computing? What happened there?
  • Nadella is a winner on cloud and should run that business as VP, but is getting his *ss kicked in the consumer market. He's lost.
  • Found this on MSPoweruser: "Surface, interestingly enough, disappointed a bit with a fall in revenue by 2%. In case you are wondering, Microsoft’s Surface business generated $1.3 billion in revenue in this quarter. As for its phones business, there was a fall of 81% in revenue, which really isn’t surprising to see." What happened to Surface?    
  • Wonder if holiday discounts ate into revenues.
  • No new Surface Pro/Book this year. Surface Studio was made in limited numbers. Surface Book 2 was a stepping stone update, not a whole new device.
  • You're referring to the Surface Book refresh. The Surface Book 2 is something that is yet to come.
  • Surface creates a category which invites competitions from all the OEMs to fight in the same category.
  • When I saw that it declined by 2%, I wasn't surprised. Surface is supposed to be the ultimate demo of what their software is capable of and what they wanted to see OEMs build off of. This is just to sell more Software and to make a little more money on the side.
  • How can it not fail, when your dumb *** of a CEO made it impossible to even purchase a new one for so long?
  • Mspoweruser is stupid. No only surfacevstudo was lancuh and surface pro 4 and surfacebook were launched last quarter
  • And besides that I wonder how many macbooks apple sold... These are still impressive figures imho! Don't hear anybody Nutella this Nutella that... He deserves to be at the head of Microsoft and I can't wait to see what they gave up their sleeves...
  • Apple typically sells between 4 and 5 million Macs a quarter (all models) for somewhere around $5 to $6 billion in revenue a quarter.
  • I imagine a good many other makers of 2 in 1's are selling well now, so the market is now substantially bigger than just the surface and some are choosing competing products. MS did make the category for others to follow, and they did, very well in some instances. It shouldn't come as a surprise that Surfce sales level off when others are making great alternatives. The 2 in 1 is a maturing category in the Windows world.
  • You're talking about a 2% decline in revenue YoY, but it was up from the previous quarter.
  • Traditionally the 4th quarter is the biggest quarter of the year for consumer sales - this is true for Microsoft. That's why the Year-Over-Year (YOY) comparison is more valid than Quarter-Over-Quarter. Next quarter Surface revunue will probabaly drop down to normal non-holiday levels - nothing wrong, just seasonal fluctuation,
  • 81% decrease in mobile holy s💩
  • "retrenchment"
  • Was that a surprise? They haven't had a flagship phone on Verizon in almost 3 years, and no one else is building for Verizon. Kinda hard to ignore when they have 40% of the market, but Verizon built a wall around windows phone and made Microsoft pay for it. I have been relegated to buying refurb Icons off Amazon to keep going. Sucks to be a WIndows Mobile fan on Big Red...
  • I still can't understand what Verizon wanted from MS to accept their smartphones.
    What Olympic hurdles did MS have to overcome to be accepted by Verizon?
  • Maybe their CEO to show some level of passion or commitment. Without that, why should Verizon waste their time?
    .
    Windows carriers, OEMs, developers and consumers were all left to die on the mobile OS battlefield as Nadella turned tail and ran away.
  • Verizon wants to sell phones. That is a huge hurdle for Microsoft.
  • But what exactly did they want from MS? A phone made only for them and them alone? They didn't ask Apple to build them a whole new phone along with the one released for all other carriers and countries. I think they felt good when the Icon was released only for them and long after that it was rebranded as the 930 and released along with the x30 generation.
    So do they fxcking own the CDMA bands or something and the OEMs have to beg Verizon to let them tune the radios in the chipsets for those frequencies?
  • They wanted the Icon to sell. It didn't, just like the HTC M8 and Samsung. Why would they bother with more? They are in business to sell phones. Microsoft makes that hard.
  • My bro-in-law works for Verizon and it seems the reason most people left WP on Verizon was due to the neglect the Icon was given and because it seemed Microsoft and Verizon couldn't see eye to eye with no 950/XL for the carrier available. At the end of the day, if the price isn't right, no one can be happy.
  • Forget abt verizon, atleast you still get unlocked devices in US, MS seems to have forgotten the big markets China and India, + countries like Brazil where WP showed promise, no WP devices at all here.
  • What is 81% of 2 devices?
  • 1.62. 
  • The old has to die before you can rise like the Phoenix from the ashes of WM ;)
  • Now if only 0,01% of this revenue would be applied in fixing the daunting list of frustrating bugs and half-baked features we have to face on Windows 10 on a daily basis... whether desktop or mobile.
  • Phones running Windows 10 will only survive if OEMs get on board and build them. The Alcatel Idol 4s is receiving "good enough" reviews across the board. Why didn't Alcatel advertise the phone on TV or on print or on the web? Why didn't MSFT help out and advertise the phone? Why bother making phones when you don't want anyone to know about them? Strange strategies indeed.
  • Wish some millions from the 5.2 billion were used on advertising key features and smartphones
  • I thought that you spend some money in advertising to raise awareness and sell more of your products resulting in a positive net. Apparently they are making devices just to make them. Sometimes I wish I could personally slap the **** out of these company's entire marketing departments. What's the point of a marketing department if they are sitting on their butts watching trump voiceover videos?
  • MS still doesnt understand the consumer space, that why I say poach someone from likes of Apple for your marketing dept.
  • It's 100% clear, with absolutely no doubt whatsoever, that Nadella does not want Mobile advertised. He's the CEO, if he wanted it advertised, it would have been.
  • They will survive if customers buy them.  The problem is apps.  The Windows Mobile app story is a tragicomedy, and no amount of advertising expenditure will fix that.  Recall that a lot of money was spent advertising Nokia phones at some point, and they got slaughtered in the marketplace by Android.  The solution is to somehow get the ecosystem to a place where people are building Windows apps as they are Android and iOS.  UWP appears to have been a well-intentioned but failed attempt at that.  We'll see if ARM helps things.  
  • I agree with you but at least in theory increased Windows Phone sales = higher market share = attracting the attention of developers to bring their Android and iOS apps to Windows. Selling phones is the name of the game.
  • Yes, absolutely agreed: more sales = more developer interest. The problem is that throwing advertising money at it does not fix the problem.  It was tried before and failed, and that with robust devices.  If they had tried it with the 950 line, they would have lost even more money on all the returned devices.  It appears that after the fiasco that was the Win10M release, that Nadella and the leadership decided that mobile as is was a black hole, and it was best to stop digging.  I agree with them.
  • Why doesn't MS have their own department that offers to port apps across at no cost to the devs?
    Surely if they were actively pursuing the devs and offering to do all the work free of cost-and maybe even maintain them free of cost to keep them feature rich-they would have an app avalanche.
    Would cost them peanuts and could gain them massive app growth overnight.
    Seems so simple.
  • Because investors wouldn't want to do that. They would want to charge a hefty premium for this kind of work. Even though its investing in your own platform for future gains, Microsoft wouldn't do it.
  • You have to spend money to make money. Simple business principle.
  • Apparently MS did subsidize app development early in WP8, in an attempt to seed the app market.  What happened was what we all saw: an initial slew of "name brand" apps, followed by neglect and atrophy as the hoped-for WP8 market share never happened and apps lay fallow in the store, buggy and unupdated.  
  • This 81% decrease in phone revenue was all part of the plan from Nadella's 2015 memo ... uhhh ... ok ... I can't type that with a straight face. MSFT can't wait to get the mobile albatross from around its neck.
  • That's wuz up MS!
  • After hours trading, MSFT is right now at 65.19, which is up almost 2.5% since Thursday opening.  Since taking over less than three years ago, Nadella has overseen an almost doubling in the stock price.  Misgivings in here about the state of mobile notwithstanding, which are much more Ballmer's fault than Nadella's, the market has judged him to be a resounding success.  Onward and upward!
  • I agree with you. Ballmer screwed up royally leading the charge to acquire Nokia. What was he and the board thinking? People blaming Nadella for mobile is quite amusing. Disclaimer: Long MSFT.
  • Cheers, long in MSFT here, too.  From what I read, a number of the board, including Gates, strongly disagreed with Ballmer on the purchase.  Perhaps not for nothing that shortly thereafter Ballmer "resigned" as CEO... 
  • News Flash: The whole market is at record level highs, with the market closing for the first time ever over 20K. Microsoft is getting killed in the consumer space, and is becoming an Azure and Office 365 company only.
  • News Flash: DJIA is up 30% since Nadella took over.  MSFT is up almost 100%.  This means that MSFT has more than tripled the market's percentage increase in value under Nadella.  Nice try.    
  • Not true. Looka at Alphabet (Google). Their stock is down. Apple was down today. Facebook is down.
  • News flash. Apple lost the PC market because they ignored business. For phones less than 250 million unique users have any type of Smartphone. Not great. A tiny market. Over 2.4 billion unique windows users exist as of 2016. I'll let that actually sink in a moment. MS have plenty of time to change Smartphones into Pocket PCs. Phones are a volatile market based on free devices under a 2 year contract. Or loan.
  • Lost the PC market? Apple is one of the top five PC manufacturers today and they only sell high end, high profit devices. I am sure they are OK with that.
  • Your numbers are way off. Over a billion android devices are sold per year, and 220+ million iPhones. Android has been outselling Windows systems for years and Apple probably will start outselling them this year. Number of unique Windows users is routinely estimated at 1.25 to 1.5 billion. https://en.wikipedia.org/wiki/Usage_share_of_operating_systems
  • It's actually 2.5 times what it was when Nadella took over. It was around $26 at that time.
  • You may be right.  I remember it being in the low 30's then, but it might have been the mid-20's.  Either way, he's certainly done a fantastic job.
  • [Deleted duplicate post]
  • Phone revenue might be down but this does not include OEM sales like Alcatel's Idol 4s or HP's Elite x3. It's only Microsoft's Lumia sales and that brand has been dead in the water for almost a year now. So actually there's nothing to see here people, move along!
  • I expected the x3 to arrive here months ago, but only two small online sites have it on order and price is more than 1000 $. I thought launch price was 800 with desk dock and 700 without it. Not to mention the 4S should have been on sale in Europe from the beginning
  • Hahahahahahaha. And people say MS don't know what they are doing. Lol. Over the last 10 years MS have made more profit and revenue than anytime previously. And Surface is the fastest growing brand in tech.
  • Fastest growing brand? #alternativefacts https://mspoweruser.com/microsoft-reports-26-1-billion-in-q2-2017-revenu...
  • They really are trying to put a lot of space between Lumia and whatever comes next, completely killing it off! Even their own employees poke fun and make jokes about how awful it is/was at MS conferences etc., No doubt when whatever we get next comes out they'll be back towing the company line. I doubt it'll have any impact though, mainstream people aren't going to part with their Apples and Samsungs etc., not unless the apps are there from the beginning...
  • Apps will be irrelevant. We will have full software and proper pocket pcs. Not smartphones. There is only 250 million odd unique smartphone users out there. Which is a tiny tiny portion of consumers around the world. Compared to 2.4 billion windows users. A Pocket Surface isn't even competing with Phones. It's a proper pc. Running billions of software right back to the 90s. Apps were designed because software wouldn't run on mobile tech. Those days are over. And MS are in the best position for the next Phase. It would take apple years to make osx work on smaller devices. And Google don't even have a proper OS.
  • More than 250 million Android phones are sold every 3 months. What are you taking about!?
  • Unique users. Not upgrades. It's estimated that 85% of yearly sales of smartphones are upgrades or replacements for faulty units. Smartphones have the highest breakage and failure rate of any tech product up at 19%. Unique user ids are tracked via accounts. I have 4 Lumia phones linked to my Microsoft account for example. There is less than 100 million unique Iphone users. 85 million at last count. Android is higher approaching 150 million. The current Smartphone market is volatile. Where by people get their phones on loan for 12-18 months. Via a contract. These contracts are loans. If you miss payments on them they go against your credit file as a loan repayment missed. It's already showing signs of slowing sales as people hold onto their phones longer. Because there is no room to grow a Mobile OS just make the hardware slightly faster. The reason why revenue has dropped for Android and IOS over the last year is market saturation. That's the reason Apple and Android have dropped in Stock value and revenue over the last 12 months.
  • Those numbers do not add up. You are basically saying that every Android user is buying one phone per month. You need to add a reference for your claims!
  • No buddy. Your acting like Android always sold 300 million each quarter. And yes its quaterly not monthly as you claim that Android sold reatilers ( not consumers ) as that's how the sales are calculated. In 2010 Android barely sold 10 million a quarter. There was tremendous growth in 2012-2014 in terms of units sold per quarter. But yet again they were not sold to new users only. Example my wife had 12 different Android phones in 2013. That's 1 person. All due to either the OS killing the phone or faulty hardware. Of the 19% of faulty phones 82% are Android.
  • If you claim that there are only 150 million Android users and today 300 million Android phones are sold every quarter, that means each Android user is buying 2 phones a quarter. You need to reference where you found that 150 million number. It makes no sense. With a quick search I find that in 2015 Android had 1.4 billion active users and the Play Store had over 1 billion within 30 days. Google says there are now 1.4 billion active Android devices worldwide:
    https://www.androidcentral.com/google-says-there-are-now-14-billion-acti...
  • You claim Android sells more than 250 million monthly. LMAO. The whole of the Smartphone market combining all Operating systems for the last quarter in 2016 totalled 359 million. And that's over a 4 month period. That includes Chinese operating systems that aren't even Android or IOS. Link provided for you.
  • http://venturebeat.com/2016/10/26/idc-smartphone-shipments-up-1-in-q3-20...
  • That shows exactly what I said. ~300 million Android phones per quarter. Where did you get 150 million total Android users?!
  • Admittedly the 150 million was from the end of 2014. So maybe it could be at about 300 million max now maybe just maybe me being overly optimistic 400 million. And IOS 150 million. But I really don't think your grasping the concept. We are talking unique accounts with a registered phone to it. My Email account has 4x lumias and 9 x Android phones registered to just my 1 account. So let's say the Smartphone market sits around 550 million users. So we are at saturation point. The Market is NOT growing but shrinking. Add to that q3 is the Xmas period. So that 359 million figure isn't even the regular quaterly sales. They are much less in q4,q1 and q2. The Smartphone market will as of the introduction of Mobile PCs start to decline really fast. Hardware sales are also ill say again to the retailer. So there is normally about 50 million phones in the channel as they say Worldwide. In the channel means in warehouses, in stores not yet bought by consumers around the entire world. So that 359 million turns into 300 million. Then you take off replacements, so another 60 million. Add to that Android is the biggest failiure rate and tour starting to see Android is actually selling through to consumer closer to 200 million in quarter 3. The Xmas quarter. Now Google doesn't care and Samsung for example because they get paid when the retailer buys it. Same way Sony and MS release sold to retailer info for Xbox and Playstation. It's not to consumer. And it includes all the replacements. So with a bit of quick maths your looking somewher on the region of 500 million sold to consumer that aren't replacements in a year for Android. If you bother to understand how this works then do the research. But don't act like you know.
  • You have nothing to backup your claim. Google reported over 1 billion unique accounts accessing the play store per month and 1.4 billion phones and that was in 2015. You don't sell 300 million phones a quarter and only have 400 million unique users. Again, that means each user is buying a new phone like every 3 months. It makes no sense.
  • It's not 300 million phones a quarter. Q3 is the Xmas quarter. Q2 was less than 200 million combined. Do the math. And some research. The play store is also available on tablet and Chromebook. Not Just Smartphones. Maths back up my claim as well as reports for failiure rates. And the fact its 300 million sold to RETAILER not CONSUMER. according to you. In 2016 Google sold less than 1 billion phones in all quarters combined. And next to none of the previous people who owned an Android phone upgraded ? Ok mate. I don't need to go any further. So no store has any phones in stock Worldwide. And no warehouses have any Smartphones either. If you haven't worked in business and stock reports I understand how you can be this wrong.
  • 2016 Q2, 296 million Android phones sold. https://techcrunch.com/2016/08/18/gartner-androids-smartphone-marketshar... Android has consistently sold 250+ million smartphones per quarter for a few years now. It doesn't matter if that is shipments, retailers wouldn't keep ordering them if they didn't sell and their warehouses were full. www.theverge.com/platform/amp/2016/6/1/11836816/iphone-vs-android-histor... Again, you have no data to backup your rediculous claim that every Android user is buying a new phone every quarter, which would be the case if there were only 250 million Android users as you claim with not a single link to back you up. Here is all the data you need. Android passed 400 million active users in early 2013 and now is ~1.5 billion. http://ben-evans.com/benedictevans/2016/7/25/platform-wars-final-score
  • He's clueless.
  • Actually it appears your clueless about how sales figures work. And what actually ends up in the users hands.
  • Jan 27 (Reuters) - Microsoft Corp's <MSFT.O> market capitalization topped $500 billion for the first time since 2000 on Friday, after the technology giant's stock rose following another quarter of results that beat Wall Street's expectations.  http://www.nasdaq.com/article/microsofts-market-value-tops-500-bln-again-after-17-years-20170127-00577  
  • Yep, Microsoft market capitalization rockets up and has no shows to go down. Jjust read about that in financial newspapers, the difference between today and the 2001 Bubble is that now Microsoft is much more solid company, getting revenues from many business models, and in 2001 they only were selling software. So these are indeed great news for Microsoft fans.