Microsoft FY20 Q2 earnings: Windows 10 OEM revenue up 18 percent as Windows 7 winds down

Microsoft'south earnings report is out for the second quarter of its 2022 financial yr, and the company raked in 36.9 billion beating most estimates.

Overall, Windows OEM growth grew eighteen per centum ahead of the PC market place growth. Microsoft notes that "chip supply constraints" last year collection that discrepancy to be larger than it should exist, and this is more of a correction. Intel was noted to have issues meeting the need for its 14nm chipsets to OEMs, which in plough reduced sales of Windows licenses.

Windows ten Pro had a massive quarter partially driven by Windows 7 support coming to an end equally enterprise scrambles to upgrade to new hardware. That has resulted in a meaning but expected growth in Windows 10 Pro licenses, which were up 26 percent from last year.

Withal, even Windows 10 Home and OEM sales saw a nice uptick, too, with a 4 per centum year-over-twelvemonth increment. Microsoft cites "the benefit from the low prior year comparable and the timing of license purchases" that "more than than get-go connected pressure in the entry-level category."

Update: On the earnings telephone call, Microsoft's CFO Amy Hood noted noted that next quarter the visitor expects lower to mid single digit growth driven by the terminate of Windows 7 support, generally "healthy demand" from consumers and Microsoft'southward partners' ability to meet that demand.

When combined with Surface revenue (up 6%), Xbox content (down 21%), Search (up 6%), the More Personal Computing sectionalisation (one of the large iii at Microsoft) was up in revenue past two percent (or three per centum in constant currency).

See more than of Microsoft's total quarter results.

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UH OH

An internet connectedness will soon be required when setting up Windows 11 Pro

Microsoft has appear that later this twelvemonth, users will be required to connect to the cyberspace and sign-in with a Microsoft Account during the out of box setup experience on Windows 11 Pro. Microsoft has already been enforcing this requirement on Windows xi Home since launch last October, and Windows 11 Pro is now expected to follow suit shortly.

Source: https://www.windowscentral.com/windows-10-oem-revenue-18-percent-fy20-q2-due-windows-7-eol

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