Microsoft CEO Satya Nadella says he’s confident that the release of Windows 10 next week will boost the company’s Windows business over time, despite what has been a difficult market for traditional computer sales in recent years.
“While the PC ecosystem has been under pressure recently, I do believe that Windows 10 will broaden our economic opportunity and return Windows to growth,” Nadella said in his remarks to analysts on the company’s conference call this afternoon, following its quarterly earnings report.
Nadella pointed in part to new machines from computer makers that will be released in conjunction with Windows 10 this year. He promised, “By this holiday we will be selling the widest range of Windows hardware ever available.”
He noted that Windows will be able to benefit from Microsoft’s own hardware business, and the company’s expanding set of apps and services for consumers and businesses. Windows 10 also will lead to new types of devices, including Microsoft’s blended reality HoloLens headset, he noted.
In addition, Nadella said the company will “significantly reduce” its operating losses from phones as a result of narrowing its focus in that part of its business, including the recent write-down of $7.5 billion from its Nokia smartphone acquisition. That write-down led to a $3.2 billion loss in the company’s quarterly results, posted today.
PREVIOUSLY: Microsoft posts $3.2B quarterly loss thanks to giant Nokia write-down
“We are confident that these are the right levers to revitalize Windows and restore growth,” he said.
Nadella’s comments followed another difficult quarter for Windows, including a 22 percent decline in revenue from versions of Windows sold to computer makers, and an 8 percent decline in Windows volume licensing revenue.
Windows 10 launches next week, with new features including the return of the desktop Start Menu, a new web browser called Edge, integration of the Cortana personal assistant, and game streaming from Xbox One to Windows 10 machines.
