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Microsoft's Server And Tools Unit Swings To A Loss: Page 2 of 2

For Microsoft's other main units, the company reported that operating income for its client business, which includes the Windows desktop versions, increased to $2.07 billion from $1.95 billion. Revenue jumped 21 percent to $3.06 billion from $2.53 billion.

Profit for the information worker unit, which includes the Office suite, was nearly flat at $1.67 billion from $1.66 billion in 2002. Revenues increased slightly to $2.9 billion from $2.3 billion.

For the remaining businesses, operating losses narrowed for MSN to $79 million from $197 million, and for home and entertainment, which includes the Xbox game console, to $394 million from $412 million.

Losses for the mobile and embedded devices unit, however, increased to $112 million from $75 million, while corporate and other expenses increased to $1.4 billion from $845 million.