We believe this provides little to no remedy, given that the operating systems business is still a monopoly business as determined by the court.

Microsoft's management has not changed its posture on the quarter, but we believe recent data suggests that Street estimates may need to come down,

We are encouraged by this and have raised estimates, essentially back to earlier levels. While the stock is richly valued and the growth is still well below historic levels, we believe there is a good flow of upcoming new products and the shares are likely a relative safe harbor.

Extrapolating from Oracle as a bellwether for the rest of the software sector, we believe the September quarter results for the group will likely come in a bit shy of estimates,