Microsoft Corporation (MSFT) Partners with Best Buy Co., Inc. (BBY); What Does It Mean for Investors?

Page 2 of 2

Microsoft can make a dent in Mac sales, which accounted for just over 11% of Apple’s sales in the first quarter of this year. The Apple iPad, however, isn’t faced with much danger from the Microsoft Surface as it barely registers in the market. The firm is behind Apple, Amazon and Samsung in tablet sales. And Apple can’t really be touched by Microsoft in the iPhone category, which accomplishes nearly 55% of Apples total revenue. However, Apple does face a decreasing market share due to the Samsung Galaxy S4, which sold around 10 million units in May and beat Apple’s iPhone sales for the month.

The move is a win-win

Both Best Buy Co., Inc. (NYSE:BBY) and Microsoft Corporation (NASDAQ:MSFT) will see increased exposure through the deal, something that could be bad news for Apple. As long as Windows can improve the usability of Windows 8 and better connect with customers by working directly with users, increased profits could be ahead. The store-inside-a-store is slated to open this month, with the full rollout to 500 stores in the U.S. and 100 in Canada expected to be completed by September.

The article Microsoft Partners with Best Buy; What Does It Mean for Investors? originally appeared on Fool.com and is written by Phillip Woolgar.

Phillip Woolgar has no position in any stocks mentioned. The Motley Fool recommends Apple. The Motley Fool owns shares of Apple and Microsoft. Phillip is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Page 2 of 2