Windows 7 boosts Microsoft's fortunes

Sales of Windows 7 helped contribute to Microsoft’s bottom line, as the company delivered its third quarter financial results.

Microsoft’s revenues amounted to $14.5 billion for the quarter, up six percent from the same quarter last last year. It made net profits of $4.01 billion for Q3 – last year profits were $2.98 billion. Windows revenue alone rose by 28 percent year on year.

Windows 7, according to Microsoft, is now installed on over 10 percent of PCs, another sign that the market is on the rebound.

Chief financial officer Peter Klein said that Windows 7 had boosted its growth but Bing, Xbox Live and cloud computing had also contributed strongly to the revenue mix.

Enterprise customers, said Microsoft, are beginning to replace their desktops and Windows 7 is a beneficiary of that move.

However, Microsoft faces a number of challenges – one of which is from the company that wants to be its nemesis, Google. Google wants its Chrome OS to displace Windows on PCs but that’s not something that’s likely to happen overnight.