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Tech Giants Chime In With Mixed Earnings

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Tech bellwethers Google, Microsoft, Intel and IBM reported earnings Thursday, providing a mixed view of the sector.

Google's fourth-quarter profit came in lower than Wall Street expected. The Internet advertising giant reported a profit of $2.7 billion on revenue of $10.6 billion. Revenue was up 25% from the year-ago quarter. Among factors adding to costs, Google added roughly 1,100 jobs in the quarter.

The Internet search leader also added to its Google+ ranks, reporting more than 90 million users of the social network. That's "well over double what I announced just a quarter ago," said Google CEO Larry Page on the earnings conference call.

Google shares tumbled 9% in after-hours trading to $582.75.

Microsoft's profit didn't disappoint. The software giant reported second-quarter profit of $6.6 billion on revenue of $20.9 billion. Revenue was up 5% from a year earlier. CEO Steve Ballmer talked up the company's prospects for mobile, tablets and PCs for 2012 in the company's earnings announcement.

However, the software giant's Windows franchise struggled. The Windows division posted a 6% decline from a year ago. That was offset by gains in its Entertainment and Devices division. The unit, which includes its popular Xbox 360, reported a 15% uptick from a year earlier.

Microsoft shares rose more than 2% in after-hours trading to $28.84.

Intel's profit came in ahead of estimates. The chip giant reported a fourth-quarter profit of $3.5 billion on revenue of $13.9 billion. Intel's revenue was up 22% in the quarter. Despite a flagging PC market, Intel made advances.

Intel CEO Paul Otellini said this year's lineup of tablets, smartphones and slim laptops known as ultrabooks bodes well for the chipmaker. Shares were up nearly 1% in after-hours trading to $25.81.

IBM's profit met Wall Street's expectations. The software and computing services behemoth reported fourth-quarter profit of $5.5 billion on revenue of $29.5 billion. Revenue...


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