Microsoft filing shows losses in four divisions
InfoWorld | at | by Mike
In a regulatory filing Thursday with the U.S. Securities and Exchange Commission (SEC), Microsoft for the first time provided financial results for each of seven recently formed business units, revealing operating losses in four segments, including the unit that produces its Xbox video console.
The disclosures appear to support the idea that in order to tap new and potentially lucrative markets for products such as enterprise software applications and video games, Microsoft is prepared to incur significant near-term losses to build up those new businesses, financial analysts said. The analysts cautioned against reading too much into losses reported by some of the divisions, and they said that at first glance the filing appeared to offer no great surprises.