Channel Beat: Microsoft Earnings Disappoint While SAP Soars

Microsoft blamed its disappointingthird-quarterearnings on sluggish Windows sales and slowing profits in other business units.

Microsoft's net income fell 25 percent year over year for the quarter, and revenue fell more than 5 percent.

Microsoft's Office 365 sales to businesses did grow 63 percent during the quarter, and Microsoft said it now has more than 22.2 million Office 365 consumer customers.

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On the other hand, SAP reported accelerated growth in from its first quarter. The company reported 33 percent growth in cloud subscriptions and support revenue.

SAP reported total revenue was up 5 percent from the same quarter last year, and after-tax profit was up 38 percent from one year ago.

The company is forecasting up to 33 percent growth in cloud subscription and support revenue for all of 2016.

Intel will lay off about 11 percent of its workforce -- a move that Intel partners say will benefit the company in the long run.

This week, the company said it will cut 12,000 jobs globally in order to focus on high-growth areas like the data center and IoT.

The job cuts will occur through the middle of next year, and save the company about $750 million.

Through the layoffs and organization shuffle, Intel hopes to reduce its dependence on the slowing PC market.