Microsoft: Not This Quarter, Apple

Microsoft: Not This Quarter, Apple
Microsoft has reported in with its quarterly earnings, posting revenues of $16.04 billion which is ahead of Wall Street estimates and up 22 percent year over year. This still puts it about $300 million ahead of Apple, so Cupertino's going to have to wait another quarter to edge Microsoft on the revenue front.

In terms of profit, Microsoft's $4.52 billion for the quarter far exceeds Apple's $3.25 billion, so while Apple may be near even in revenue, Redmond's still making more money. This can be explained by the fact that a large portion of Microsoft's business is in software, where profit margins are much higher.

"Our transition to cloud services is well underway with offerings like Windows Azure and our Business Productivity Online Services, and we look forward to continuing our product momentum this fall with the upcoming launches of Windows Phone 7 and Xbox Kinect," chief operating officer Kevin Turner said in a statement.

The company also reported that it had sold 175 million licenses to Windows 7, and that its Bing search product had gained search share for the 13th straight month.

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