Microsoft: Revenues drop 17 percent

Microsoft is having recession pains just like every other tech company. Last week, it reported its worst fiscal year since it initially sold stock to the public in 1986. Its quarterly revenues dropped 17 percent.

"Clearly, Microsoft is not immune to the economic downturn," Brendan Barnicle, a software analyst with Pacific Crest Securities, told the New York Times.

The recession has clearly impacted Microsoft, but the company is expected to surge once businesses start buying again. Microsoft has also been hurt by Vista, which was introduced in 2007. The product failed to attract business because of problems with compatibility and speed.

Despite Microsoft's 17 percent decline in quarterly revenue, the company appears pretty optimistic. "There are some signs that we have at least seen the worst," said Microsoft CFO Christopher P. Liddell, in a conference call, the newspaper reported.

For more on Microsoft's earnings:
- check out this New York Times article

Related Articles:
Microsoft reveals more about Office 2010
Microsoft threatens to move jobs overseas
Report: Microsoft's Bing overtakes Yahoo