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Live Blogging: Un-Spinning Microsoft's Bad Results for This Quarter

Microsoft Operating Income Down 30%, Income Down 29%, and Earnings Down 26%

AS we showed before, Microsoft is about to announce disappointing results [1, 2, 3], but it will artistically try to spin its way out of this one, with the help of the press (or "mass media"). To avoid deception from this mass media and a Microsoft press release, as soon as information arrives, we shall append it below with explanations, references, and supporting reports. GNU/Linux and Free software are a major factor in the sharp decline of their most formidable suppressor and a general aggressor in the technology sector. ⬆



Update #1 (3:58PM Eastern Time):

Wall Street Journal (ahead of the report): Microsoft Expected To Post Fiscal 4Q Pft, Sales Declines

Update #2 (4:03PM Eastern Time):

As expected, some of the press uses the strategic timing of Vista 7 news to distract from bad results.

Reuters: Microsoft deal talk, optimism overshadow results

Update #3 (4:13PM Eastern Time):

According to the press release (made public minutes ago), "Operating income, net income and diluted earnings per share for the quarter were $3.99 billion, $3.05 billion and $0.34 per share, which represented declines of 30%, 29% and 26%, respectively, when compared with the prior year period." That's the second consecutive sharp drop of this scale and revenue is down very sharply as well.

In reality, it might be a lot worse due to habits of fraud. Microsoft is said to have lost $18bn in 1998.

Update #4 (4:54PM Eastern Time):

Coverage from the mainstream press is starting to trickle in.

AP: Microsoft fiscal 4Q profit falls 29 percent

WSJ: Microsoft's Profit, Sales Tumble

Bloomberg: Microsoft Profit Falls 29% as Slowdown Hurts Sales

AFP: Microsoft profit down 29 pct in weak computer market

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