Technology

Microsoft Faces Stock Price Drop After Windows 8 Release

Microsoft published its second quarter figures revealing a significant stock price drop after the release of the latest operating system, Windows 8. Customers have begun to show interest in the new program, but the sales registered since the beginning of the year have not been sufficient to redress the company’s financial situation.

Microsoft launched Windows 8 in October 2012 as an attempt to expand its services from personal computers to pocket PCs and smartphones. The launching of a new touch-based operating system was harshly criticized by some market analysts considering that Google’s Android and Apple’s iOS have the supremacy in this field. Figures, however, show that Microsoft has managed to convince customers to make the transition to Windows 8, in spite of analysts’ pessimistic predictions.

Based on the report provided by Microsoft, the sales did not meet the company’s expectations, but share prices for the Windows division were 24 percent bigger than the ones registered a year before. The release of the operating system was accompanied by another important launching event, namely the introduction of Microsoft’s own tablet, Surface. The software company did not disclose the number of tablets that were sold between October-December. Technology analyst, Patrick Moorhead, believes Microsoft will not mention Surface sales because they will not be “impressive”.

The multinational corporation is, nevertheless, estimating that Surface will become a popular product in the following period as the tablet will be commercialized in 14 countries. Moreover, a new more advanced tablet featuring Windows 8 RT, that is, Surface Pro, will be available starting on February 9. So far, Microsoft has sold 750,000 to 1 million Surface units falling far behind Apple, which shipped around 23 million iPads during the same period.

Windows 8 will remain under the close observation of analysts as they think it is now too early to reach any conclusions in relation it its future evolution. Microsoft customers usually wait for the updated versions of Windows because they want to make sure all bugs have been removed. There is a great possibility for the operating system to become more popular by the end of 2013.

The final three months of 2012 brought Microsoft a 76 cents growth per share and a $6.4 billion total earning. In 2011, the company registered $6.6 billion and 78 cents per share, so Microsoft was down 4 percent in 2012.

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Lucienne Molnar is our editor in charge with managing the celebrity and fashion sections of DailyGossip. She currently lives in Seattle and has a lot of experience in the fashion industry, most of it accumulated while working as a part time model for a few popular internet clothing stores.Lucienne is a passionate writer dreaming to create her own fashion line someday.You can get in touch with her at Lucienne.Molnar@dailygossip.org

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