Microsoft has come a long way and they've had some great successes and some horrible blunders. Often, it appears that just when they are ready to break through a market, they cancel the product and leave people hanging. They did this with Zune and I'm pretty sure that their mobile platform is all but dead. Their cloud service - Azure - is alive and very well however. In fact their cloud service grew by 7% and netted them $6.7 Billion in revenue. Clearly, they are doing something right.
The earnings report is particularly interesting for Microsoft, as it's the first since its $26 billion LinkedIn purchase. That was Microsoft's largest deal ever, and despite making plenty of synergistic sense, many considered it a curious move for a company that's trying to double-down on its productive relevance.