Microsoft Windows Revenue Flat in Q3 Earnings - Page 2

The Online Services Division reported revenue of $832 million, an 18 percent increase from the prior year period. And online advertising revenue grew 22 percent, driven by an increase in revenue per search, Microsoft said.

The Entertainment and Devices Division posted revenue of $2.53 billion, an increase of 56 percent from the prior year period. Xbox LIVE now has over 46 million members worldwide, an 18 percent increase from the prior year period, the company said.

Microsoft also announced that the company’s chief financial officer, Peter Klein, will leave the company at the end of the current fiscal year, after nearly four years in the role and 11 years at the company. Microsoft will be naming a new CFO from its finance leadership team in the next several weeks.

“Our diverse business continues to deliver solid financial results, even as we navigate the evolving device market,” Klein said in a statement. “Looking ahead, we will continue to invest in long-term growth opportunities to drive our devices and services strategy forward and deliver ongoing value to shareholders.”

Meanwhile, something else Klein said raised the interest of a key Microsoft watcher. In stating that Microsoft was going to be "responsive to customer feedback" with Windows Blue, the upcoming version of the operating system, Klein got Microsoft blogger Mary Jo Foley to thinking.

“I take this as yet another confirmation that Microsoft is moving toward make the boot-to-desktop option and some kind of Windows Start button a part of Windows Blue,” Foley wrote in a post following Microsoft’s earnings call. “I don't know if these options are likely to be available across all Windows 8 and Windows RT SKUs (or just Pro and Enterprise, which is what my Windows Weekly co-host Paul Thurrott is hearing). I also don't know if this Start Button will just be something that brings users directly to the Metro Start Screen. But I'd be that's far more likely than something that would bring them back to the old Start Menu.”