The Seattle Times: Microsoft: Microsoft delivers no fireworks, fears: "Software for phones and mobile devices sold well, increasing 31 percent to $80 million.
Entertainment and home-product sales grew 12 percent, including a 13 percent rise in Xbox sales, and midsize business systems grew 3 percent.
Microsoft reported much lower earnings on interest and investments, since it reduced its cash holdings by $32.6 billion with a special dividend last year.
The coffers are refilling, however. Even after spending $2.4 billion buying back its stock during the quarter, Microsoft had $37.6 billion on hand March 31. "