MSFT Q2 Earnings

As part of the company’s latest quarterly earnings announcement, Microsoft today revealed Surface revenue increased to $1.1 billion in Q2 2015, driven mainly by Surface Pro 3 and its accessories. The company also revealed phone hardware revenue of $2.3 billion, thanks to 10.5 million Lumia units sold in the quarter.

In Q2 2014, Microsoft reported $893 million in Surface revenue, meaning the figure has slightly increased (up 24 percent, to be exact). More importantly, this is the first quarter that the Surface line has generated more than $1 billion. The company started this fiscal year with $908 million in Surface quarterly revenue, meaning it has already sold $2 billion’s worth of Surface products in the first half of its fiscal year.

Over $1 billion in Surface sales is a lot for a software company that only recently got serious about making its own computers, but we still don’t know the exact number of Surfaces the company is selling. That’s because Microsoft lumps together accessories and older Surface devices along with the Surface Pro 3, which itself has models ranging from $800 to $1,950. That said, it couldn’t have sold much more than a million units, which is a long way off from market leader Apple and its 12.3 million iPads or even its 5.5 million Macs sold last quarter. Microsoft has quite a long way to go before it is a dominant force as a tablet or PC maker.