Microsoft Reports Q2 Revenues

Here’s the Microsoft earnings release: “Microsoft Corp. today announced revenue of $13.37 billion for the quarter ended June 30, 2007, a 13% increase over the same period of the prior year.” Online Services Business is the category where search and other ad revenues are reported. Here’s what the release shows:

OSB revenue increased driven primarily by advertising revenue which grew $135 million or 33% to $544 million. This increase was primarily due to growth in advertising for search, home page, email, and messaging services. The increase in advertising revenue was partially offset by a $34 million or 31% decline in access revenue as subscribers continue to migrate to broadband or other competitively priced service providers.

Here’s more analysis from CNNMoney.