Microsoft Corporation (NASDAQ:MSFT) geared on Android.
Denver, CO, 07/23/2013 (Avauncer.com) – Shares of Microsoft Corporation (NASDAQ:MSFT) gained by 1.94% to close at $32.01 in its last trading session. Shares too remained close to the higher end of its 52-week price range of $26.26 to $36.43. However, despite this, shares were thinly traded, with only 79.04 million shares exchanging hands, while the average volume of shares traded remains at 47.93 million shares.
Microsoft reported disappointing earnings results. Shares of Microsoft were lower in premarket trading fell short of expectations. Microsoft was down over 7 percent. One of the analysts has reported that the roads aren’t going to be easier for Microsoft this year. The company’s stock has taken a leap since its weak earnings report. While some analysts remained positive on Microsoft. Sales of the PCs have been falling. The numbers of units shipped is much lower than expected. It is also struggling for traction in tablets and Smartphones. Sales of Nokia’s Lumia Windows Phones are improving but are still have a long way to go ahead.
Investors have suspected that Microsoft is generating more revenue from Google Android than it does in selling Windows Phone licenses. The company reported that its entertainment and devices division have increased its revenue by $134 million which is around 8%, due to Windows Phone. Windows Phone has been gaining pace lately in the Smartphone market. Meanwhile Android is still continuing to rise.
Microsoft’s agreement of license with Android OEMs aren’t publicly available but investors do have a hint that the biggest vendors have made deals with the software giant’s which includes Samsung, HTC and other big brands. Microsoft has about 20 Androids which is sending its checks for use of Google’s operating system. It can be said that Microsoft is getting rich on Androids.
Microsoft Windows phone license fees have been estimated to range between $20 and $30. Larger OEMs are getting volume breaks on an average to close at $23 per unit. IDC has estimated that there were about 5.4 million Windows phones sold out in Q2, 2012. The market researchers have yet to release their estimates regarding the current quarter. But the investors already know that Nokia Corporation (NYSE:NOK) is a predominant vendor of Microsoft.