Microsoft Making Money

For the first time, the XBox is expected to be profitable in 2008. How refreshing that Microsoft will finally start making money. Everyone knows that Bill Gates is the richest man in the world, and that Microsoft makes a lot of money. But I read some statistics from a Yahoo Business article recently that helped put their profitability in perspective.

Microsoft announced their quarterly revenue of $14.4 billion and net income of $4.93 billion. That means Microsoft made $55 million a day of pure profit. The article goes on to help us understand what kind of money that is.

Do some quick math and you'll learn it takes Microsoft only about...

• four days to exceed Starbucks' quarterly net income of $205 million.
• one week to exceed Nike's quarterly net income of $350.8 million.
• two weeks to exceed McDonalds' quarterly net income of $762 million.
• two weeks to exceed Apple's quarterly net income of $770 million.
• 18 days to exceed Google's quarterly net income of $1 billion.
• 23 days to exceed Coca-Cola's quarterly net income of $1.26 billion.
• five weeks to exceed IBM's quarterly net income of $1.85 billion.
• 10 weeks to exceed Wal-Mart's quarterly net income of $3.9 billion.

The Wow certainly does start now. With this kind of revenue and these sized pockets, they can afford to sit on unprofitable products (like the XBox and Zune) until Sony or Apple screws up and they are profitable. Good for them.

Three weeks to make more money than Coka-Cola?