Growth utility for Microsoft online advertising

After three quarters of decline, Microsoft's activities with search and online advertising show a growth advantage. Turnover from internet advertising rose thirteen percent, but these 'new activities' are still heavily loss-making. This is evident from the presentation of the financial figures for the last quarter of 2011

After three quarters of decline, Microsoft's activities with search and online advertising show a growth advantage. Turnover from internet advertising rose thirteen percent, but these 'new activities' are still heavily loss-making.

This is evident from the presentation of the financial figures for the last quarter of 2011. Microsoft presented the figures yesterday evening after the close of the American trading day.

The department covered by Search and Advertising, Online Services, recorded sales of $ 780 million in the last three months of last year. That is an increase of 10 percent compared to the previous year.

From the specification given by Microsoft, it can be seen that the exploitation of Bing.com and the search and advertising services that it provides for Yahoo are primarily an American affair. Microsoft's search technology handles about one in three searches in America. In Europe, on the other hand, Google has a market share of over ninety percent.

The software company has been investing billions of dollars in online search and advertising technology for the last three years. The operating losses run every quarter in the hundreds of millions of dollars. Although the losses are considerable, they are now starting to decline.

The operational loss of Online Services amounted to 458 million dollars last quarter. A year ago that was $ 559 million.

Where Microsoft's search and advertising services show growth of thirteen percent, Google is globally recording an increase of 25 percent.

The Windows & Windows Live division also shows a decline. Sales fell six percent to $ 4.7 billion.

However, at company level, including Entertainment, Business and Server software, the company achieved growth. Revenue in the three months to January 1, 2012 rose by five percent to $ 20.9 billion. Net profit remained the same compared to last year: 6.6 billion dollars.