Weaker profits anticipated at Microsoft due to sluggish PC sales

Analysts anticipate that sluggish sales of new PCs may weaken Microsoft’s forthcoming profit result. According to Reuters, analysts are anticipating a weaker result for the company after Gartner reported a 1.4% decline in PC sales over the holiday season. Microsoft blamed the weak sales figures on supply issues stemming from recent floods in Thailand. The […]

Andrew Sadauskas 17 January, 2012

Analysts anticipate that sluggish sales of new PCs may weaken Microsoft’s forthcoming profit result.

According to Reuters, analysts are anticipating a weaker result for the company after Gartner reported a 1.4% decline in PC sales over the holiday season. Microsoft blamed the weak sales figures on supply issues stemming from recent floods in Thailand.

The continuing high market share for Windows XP, ahead of more recent releases, such as Windows 7, suggests users holding off on upgrades may be partly to blame. The company hopes that the forthcoming release of Windows 8 will help rectify the situation.

Poor sales for Microsoft in the desktop market has been compounded by a recent loss of market share for its IIS platform in the web server market and an uninspiring keynote at the recent CES.