Microsoft’s Windows licensing revenue decreased by 5%

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Microsoft today announced a decline in revenue for Windows OEM licensing. The company announced a 5% decline in Windows OEM revenue (in constant currency):

  • Windows OEM Pro declined 6%, ahead of the commercial PC market with strong license sell-in
  • Windows OEM non-pro declined 3%, outperforming the consumer PC market driven by higher premium and mid-range device mix
  • Windows volume licensing grew 3% CC with annuity revenue growth partially offest by transactional revenue decliens
  • IP licensing revenue decreased due to lower units and a higher mix of low royalty devices

It is worth noting that Microsoft’s Surface business had a pretty impressive growth, and Azure, Office, Xbox Live also showed a decent growth.

Find out more about Microsoft’s Q2 2016 earnings here

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