28 Jan 2011

Microsoft shares flat

1:02 pm on 28 January 2011

Microsoft surprised Wall Street with a better-than-expected profit, but its shares stayed flat due to concern about the weakness of computer sales amid a faltering US recovery.

The world's largest software maker, whose Windows operating system still runs on 90% of the world's computers, is heavily dependent on PC sales, which grew only 3% in the quarter.

Microsoft is also starting to feel competition from Apple's new iPad.

The company made $US6.6 billion in the December quarter, the same as during the same period the previous year.