the server and tools division at Microsoft provides software tools and service designed for enterprise system and IT professionals ans developers this segment is the third largest contributor to Microsoft's operating income with $4990 million in 2010 annual licensing agreements contribute about 50 percent of the division's annual revenue approximately 30 percent of the remaining revenue is from transaction licensing agreements original equipment manufacturers and retail sales with the remaining 20 percent coming from enterprise services in this division Microsoft has many different competitors foe example windows server OS includes various services and tools such as internet information services and SQL server each with unique competitors such as sun and oracle known for their web servers and data base management systems respectively