Of course they posted a record quarter (finally!)
It's hundreds of millions of PC users waiting for the Vista nightmare to be over. What did you expect? Poor sales of Windows 7?? What are the alternatives offered by MS? XP and Vista. One is an 8+ year old dog of an OS, the other is a massive flop. That's hundreds of millions of PC users dying for an upgrade after years of getting the shaft. And Apple's Premium end of the market has natural barriers to entry, starting with the $1000 minimum fee. Apple doesn't compete in the market segments occupied mostly by MS. Of course, Apple is now transitioning away from the traditional desktop computer + desktop OS paradigm.
PC users outnumber all others, and always have, whether MS released a good OS or a lousy one - PCs are cheap and now more disposable than ever (netbooks.) The bottom of the retail pyramid is always the widest. The biggest computer-using segment uses PCs. Now throw in an OS that fixes Vista and by sheer force of numbers alone (volume) you'll have a great quarter.
There's no miracle here. Just the massive number of PC users who suffered for years, now jumping at the chance to upgrade. It's nothing new, miraculous or groundbreaking. BUT . . . MS *did* release a Windows that lives up to their expectations, and they deserve all the credit in the world for that. It's a shame that it took this long, though. Right now, Windows is really all MS has going for it in the consumer market. And I think it will be enough to help MS ride out the difficulties they're experiencing in their other consumer-oriented ventures. It should allow them some breathing room to develop their mobile segment and give investors a good reason to maintain their confidence.
But I thought WinBlows was supposed to be EPIC FAIL!!!!
It makes no difference whether it succeeds or fails. PC users, by virtue of the low cost of entry into the PC market alone, will always outnumber users of all other platforms. Windows will always sell well, in whatever form, because it can run on the cheapest hardware - and this is what you find the most of. But now, we're seeing highly concentrated sales of a particular version (good news) because everyone was waiting to upgrade and end the XP/Vista pain, which lasted far, far too long.