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Technology Stocks : How high will Microsoft fly?
MSFT 491.94+1.0%11:03 AM EST

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To: Wizard who wrote (8660)6/25/1998 1:17:00 PM
From: Paul Fiondella  Read Replies (3) of 74651
 
"growth of sales and profitability of sales"

The figure I'm hearing is 57 million copies of Win98 will be sold by the end of the year (I assume they mean the end of fiscal 99). Now one estimate says profits to Microsoft from these sales will be on the order of 450 million. However another estimate says that they gross $50 per copy which is 2.85 billion. Everyone knows that the cost of producing those copies is minimal. If the expenses of development are already taken then apart from marketing and sales expenses isn't there the potential of adding a billion or so in net profits in the next two quarters?
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