MicroStrategy (MSTR) 8-K Record Revenues of $351 Million in 2007

Exhibit 99.1

Contact:

MicroStrategy Incorporated

Investor Relations

ir@microstrategy.com

(703) 848-8600

MicroStrategy Announces

Record Revenues of $351 Million in 2007

20^th Consecutive Quarter of Year-Over-Year Revenue Growth

MCLEAN, Va., February 1, 2008 - MicroStrategy^® Incorporated (NASDAQ: MSTR), a leading worldwide provider of business intelligence software, today announced financial results for the three-month period ended December 31, 2007 (the fourth quarter of its 2007 fiscal year).

Fourth quarter 2007 revenue was $97.6 million versus $92.6 million for the fourth quarter of 2006, a 5% increase. This marked the twentieth consecutive quarter of year-over-year revenue growth. Revenue for the full year 2007 was $350.7 million versus $313.8 million for the full year 2006, a 12% increase. Product licenses revenue for the fourth quarter of 2007 was $31.7 million versus $36.6 million for the fourth quarter of 2006, a 13% decrease. Product support, services and other revenues for the fourth quarter of 2007 were $65.9 million versus $55.9 million for the fourth quarter of 2006, an 18% increase. Revenues from non-core operations, which consist of MicroStrategy’s Alarm.com subsidiary and Angel.com business unit, were $4.6 million for the fourth quarter of 2007 compared to $2.8 million for the fourth quarter of 2006.

Operating expenses for the fourth quarter of 2007 were $57.0 million versus $48.1 million for the fourth quarter of 2006, a 19% increase. The increase in fourth quarter operating expenses was primarily due to an increase in the worldwide employee headcount of our core business intelligence (BI) business and reflects the continued expansion in the fourth quarter of 2007 of our worldwide sales and services organization and administrative and IT support functions. Operating expenses related to Alarm.com and Angel.com were $5.5 million in the fourth quarter of 2007 compared to $2.7 million in the fourth quarter of 2006, a 102% increase. This increase in non-core operating expenses was primarily due to a bad debt allowance of $2.1 million related to our Alarm.com subsidiary recorded during the fourth quarter of 2007. Fourth quarter 2007 consolidated income from operations was $26.6 million, or 27% of revenue, versus $32.0 million, or 35% of revenue, for the fourth quarter of 2006. Net income for the fourth quarter of 2007 was $17.7 million, or $1.41 per share on a diluted basis, compared to $22.4 million, or $1.68 per share on a diluted basis, for the fourth quarter of 2006.

During the fourth quarter of 2007, MicroStrategy repurchased 252,675 shares of its class A common stock for $26.4 million at an average price per share of $104.46, including broker commissions.

1

As of December 31, 2007, MicroStrategy had 9,183,396 shares of class A common stock and 2,770,244 shares of class B common stock outstanding.

“During 2007, we recruited a substantial number of talented employees, significantly augmented our global business capacity, and welcomed many new customers,” said Arthur S. Locke, III, MicroStrategy’s Executive Vice President, Finance & Chief Financial Officer. “MicroStrategy achieved record revenues in the fourth quarter and sustained a high operating margin while continuing to expand its global reach. We are delighted with the progress we have made this past year and look forward to leveraging our strengths as an independent business intelligence company in 2008.”

New Customers and New Deals with Existing Customers in Q4 2007 Included:

Bell Canada; BMC West Corporation; Cancer Care Ontario; Chiquita Brands LLC; Classic Residence by Hyatt; Cox Communications; DHL; Emory Healthcare, Inc.; Freddie Mac; Group Health Incorporated; Guitar Center; Joe’s Crab Shack; New York and Co., Group Inc.; Novartis Pharmaceuticals Corporation; Nu Skin Enterprises; Pacific Sunwear; Republic Bank Limited; Republic National Distributing Company; RONA; Saint Elizabeth Health Care; Shoppers Drug Mart Inc.; Silverton Casino; Springs Global Participacões, S.A.; Stein Mart; The Bon Ton Stores Inc.; TVA Group; Unified Western Grocers; UNISYS Corporation; Universal Studios Hollywood; VHA Inc.; Wells Fargo Bank, N.A; Wells Fargo Home Mortgage; Wilton Industries, Inc.

Examples of Customer Deals from Q4 2007:

Classic Residence by Hyatt

Classic Residence by Hyatt is a national leader in luxury living for older adults that currently develops, owns, and operates upscale senior living communities from coast to coast. Classic Residence uses MicroStrategy reporting and dashboards across multiple strategic business areas, including Sales, Marketing, Finance, and Human Resources. Given the success of installed MicroStrategy projects, Classic Residence recently expanded its use of the MicroStrategy platform to evaluate and enhance operational performance and support its growing business intelligence requirements. A MicroStrategy customer for five years, Classic Residence cited ease-of-use and expanding functionality as reasons it recently expanded its use of MicroStrategy.

Joe’s Crab Shack

Joe’s Crab Shack, one of the largest seafood restaurant chains in America, has 119 locations in 28 states. A new MicroStrategy customer, Joe’s Crab Shack plans to use MicroStrategy’s information dashboards to track sales by region, store, and sales type, as well as to provide forecasts for sales trends across its chain of restaurants. In addition, MicroStrategy will be used for reporting across labor, productivity, and human resource management areas. MicroStrategy will enable Joe’s users to pull data from a wide variety of sources and combine this data onto reports and dashboards for enhanced insight and decision-making.

Republic Bank Limited

Republic Bank Limited, the leading bank in Trinidad and Tobago and one of the largest in the Eastern Caribbean, has selected MicroStrategy over Business Objects for reporting and analytics for its new data warehouse platform. MicroStrategy will replace Business Objects’ Crystal Reports to provide reporting and analysis capabilities for finance and business intelligence at the Republic Bank headquarters in Trinidad. MicroStrategy will enable Republic Bank employees to monitor key financial metrics and seamlessly drill into detailed reports to view underlying data. Using MicroStrategy, along with the HP Neoview data warehousing platform and a banking data model from Quadrant Risk Management, Republic Bank users will be able to obtain timely insights into financial performance and make analytically-based business decisions.

2

BI Market Debate: Open System vs. Closed System Solutions

Following the announced acquisitions of Cognos and Business Objects, MicroStrategy prepared a white paper with its views on the changing BI landscape. The white paper focuses on the contrasting dynamics of open system vs. closed system solutions and addresses the new set of issues for customers to consider as they evaluate their BI options in the changing BI market.

The white paper is available on the MicroStrategy website:http://www.microstrategy.com/Publications/Whitepapers.

License Replacement and Recruiting Programs

During Q4 2007, MicroStrategy announced two programs to attract customers and top talent from Cognos and Business Objects.

The MicroStrategy License Replacement program enables customers of Cognos and Business Objects to trade in their existing BI licenses for MicroStrategy licenses at little or no replacement cost. As a result of the announced acquisitions of Cognos and Business Objects, customers of these two BI vendors may have concerns about ongoing product support, product direction, and migration efforts.

MicroStrategy also launched a program to aggressively recruit qualified business intelligence professionals from Cognos and Business Objects. The goal of this program is to hire qualified sales, consulting, engineering, legal, marketing, and administrative professionals at Cognos and Business Objects who may be concerned about their job security. MicroStrategy held a worldwide Open House on November 29 and 30, 2007 at its offices in the following cities: Atlanta, Chicago, Dallas, Los Angeles, New York, San Francisco, Washington DC, London, Paris, Cologne, Madrid, Milan, Sao Paulo, Buenos Aires, Tokyo, Sydney, and Melbourne.

MicroStrategy World 2008:

MicroStrategy hosted its 11^th annual user conference, MicroStrategy World 2008, January 14-17, 2008 in Miami, Florida. The conference featured keynote presentations, more than 120 business and technology sessions, and an exhibit hall showcasing MicroStrategy technology partners.

Executives from more than 25 companies presented case studies on how they use MicroStrategy software to improve operations, reduce inefficiencies, and enhance business performance. Presenting companies at MicroStrategy World 2008 included Bluegreen Corporation, Catalina Marketing, Con-way Freight, Corporate Express, Darden Restaurants, Gucci, H&R Block Financial Advisors, Lowe’s Companies, Meredith Corporation, Metcash Australia, MetLife, Nordstrom, Nygard International, The University of Miami, XM Satellite Radio, Yahoo!, and Yum! Brands.

At the conference, MicroStrategy honored several organizations for achieving outstanding business performance with their MicroStrategy-based business intelligence applications:

eBay:eBay was recognized for Excellence in Enterprise Business Intelligence. Many eBay employees rely on MicroStrategy for enterprise business intelligence reporting and analytics, with reports running against one of the largest Teradata^® data warehouses in the world. MicroStrategy anchors a variety of applications that are deployed across eBay and its companies, including PayPal, Rent.com, and Shopping.com, among others.

GEICO: GEICO, a leading auto insurer, was recognized in the Data Scalability category for its use of MicroStrategy to analyze over 20 terabytes of customer and sales data. GEICO’s MicroStrategy applications have more than 1,500 users who execute over 2,000 analytical reports daily. With MicroStrategy’s dashboards and one-click analysis, GEICO personnel can gain greater insight into sales activity to enhance customer relationships and generate sales growth.

3

U.S. Postal Service: The U.S. Postal Service was honored in the User Scalability category. Approximately 30,000 managers in every major functional group at the U.S. Postal Service rely on MicroStrategy to improve operations, detect fraud, and increase efficiencies in mail service. The U.S. Postal Service runs over 140,000 reports weekly to monitor and analyze financial performance, on-time delivery performance, network efficiency, in-plant operations, and retail outlet performance.

Corporate Express US: Corporate Express US, one of the world’s largest business-to-business suppliers of essential office and computer products and services, was recognized in the Extranet Deployment category. Corporate Express customers use a MicroStrategy-powered extranet to run reports and analyze data related to their office supply purchases. More than 10,000 Corporate Express customers are expected to use this online service, which is available through Corporate Express’ award-winning EWAY Internet ordering site.

Ryder:Ryder’s CIO, Kevin Bott, received the MicroStrategy Individual Excellence in Business Intelligence award. Ryder’s business intelligence environment supports 10,000 users and more than 40,000 reports are run each week to help Ryder employees monitor fleet management and transportation service information. MicroStrategy supports a Fleet Management Services operational dashboard at Ryder that provides management with key performance indicators and early warning information. The Dedicated Contract Carriage operational dashboard provides management with at-a-glance trend information on drivers, equipment, trips, customer satisfaction, and other key performance indicators.

MicroStrategy Recognition from CMP’s Intelligent Enterprise and Retail Info Systems News:

MicroStrategy was selected by CMP’s Intelligent Enterprise for the prestigious 2008 Editors’ Choice Award. Intelligent Enterprise editors chose 48 companies that provide exceptional vision, technology innovation, and customer leadership in attaining strategic objectives. MicroStrategy was selected as a “Company to Watch” in the Business Intelligence category for its advanced technology and Dynamic Enterprise Dashboards™. Intelligent Enterprise made the following statement about MicroStrategy: “There is such a thing as best-of-breed technology. One of MicroStrategy’s strengths is user-friendly, Web 2.0-style animated dashboards. You get rich navigation with advanced visualizations, including spark lines and bullet graphs, that make the insight come alive.”

MicroStrategy was also recognized by Retail Info Systems (RIS) News as one of the top software providers for retailers. MicroStrategy was named to the RIS 2007 Software LeaderBoard, highlighting the top 45 software vendors for retailers. The LeaderBoard compares software companies serving the retail industry in a head-to-head ranking that is based largely on retailer evaluations. MicroStrategy ranked # 13 overall. In addition, MicroStrategy ranked # 8 on the Tier One list, which reflects the preferred software vendors of retailers with revenues greater than $1 billion. In a breakout of the three largest segments of retailers, MicroStrategy ranked in the top 10 in two of the three segments: specialty retailing and apparel/footwear.

About MicroStrategy Incorporated

Founded in 1989, MicroStrategy is a global leader in business intelligence (BI) technology. MicroStrategy provides integrated reporting, analysis, and monitoring software that helps leading organizations worldwide make better business decisions every day. Companies choose MicroStrategy for its advanced technical capabilities, sophisticated analytics, and superior data and user scalability. More information about MicroStrategy (NASDAQ: MSTR) is available atwww.microstrategy.com.

MicroStrategy, MicroStrategy 8, MicroStrategy Business Intelligence Platform, MicroStrategy Dynamic Enterprise Dashboards, MicroStrategy Mobile, and MicroStrategy Integrity Manager are either trademarks or registered trademarks of MicroStrategy Incorporated in the United States and certain other countries. Other product and company names mentioned herein may be the trademarks of their respective owners.

4

This press release may include statements that may constitute “forward-looking statements,” including estimates of future business prospects or financial results and statements containing the words “believe,” “estimate,” “project,” “expect” or similar expressions. Forward-looking statements inherently involve risks and uncertainties that could cause actual results of MicroStrategy Incorporated and its subsidiaries (collectively, the “Company”) to differ materially from the forward-looking statements. Factors that could contribute to such differences include: the ability of the Company to implement and achieve widespread customer acceptance of its MicroStrategy 8 software on a timely basis; the Company’s ability to recognize deferred revenue through delivery of products or satisfactory performance of services; continued acceptance of the Company’s products in the marketplace; the timing of significant orders; delays in the Company’s ability to develop or ship new products; market acceptance of new products; competitive factors; general economic conditions; currency fluctuations; and other risks detailed in the Company’s registration statements and periodic reports filed with the Securities and Exchange Commission. By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release.

5

MICROSTRATEGY INCORPORATED

CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share data)

	Three Months Ended December 31,					Twelve Months Ended December 31,
	2007		2006			2007			2006
	(unaudited)		(unaudited)			(unaudited)			(audited)
Revenues
Product licenses	$	31,736	$	36,645		$	100,344		$	107,383
Product support, services and other revenues		65,860		55,909			250,330			206,440
Total revenues		97,596		92,554			350,674			313,823
Cost of Revenues
Product licenses		899		641			3,055			2,763
Product support, services and other revenues		13,155		11,871			57,439			41,623
Total cost of revenues		14,054		12,512			60,494			44,386
Gross profit		83,542		80,042			290,180			269,437
Operating Expenses
Sales and marketing		31,503		26,616			111,552			88,416
Research and development		10,402		8,357			36,662			34,133
General and administrative		15,057		13,094			53,673			47,028
Amortization of intangible assets		17		17			71			71
Total operating expenses		56,979		48,084			201,958			169,648
Income from operations		26,563		31,958			88,222			99,789
Financing and Other Income
Interest income, net		866		759			3,648			2,820
Other income (expense), net		122		(388	)		(683	)		(1,248	)
Total financing and other income		988		371			2,965			1,572
Income before income taxes		27,551		32,329			91,187			101,361
Provision for income taxes		9,877		9,977			32,719			30,485
Net income	$	17,674	$	22,352		$	58,468		$	70,876
Basic earnings per share	$	1.47	$	1.77		$	4.74		$	5.46
Diluted earnings per share	$	1.41	$	1.68		$	4.55		$	5.20
Basic weighted average shares outstanding		12,055		12,662			12,325			12,987
Diluted weighted average shares outstanding		12,556		13,277			12,853			13,633

6

MICROSTRATEGY INCORPORATED

CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share data)

(unaudited)

	Core BI Business						Alarm.com						Angel.com						Consolidated
	Three Months Ended December 31,						Three Months Ended December 31,						Three Months Ended December 31,						Three Months Ended December 31,
	2007			2006			2007			2006			2007			2006			2007			2006
Revenues
Product licenses	$	31,736		$	36,645		$	—		$	—		$	—		$	—		$	31,736		$	36,645
Product support and services		61,296			53,134			—			—			—			—			61,296			53,134
Alarm.com hardware and services revenue		—			—			2,369			1,229			—			—			2,369			1,229
Angel.com telephony services		—			—			—			—			2,195			1,546			2,195			1,546
Total revenues		93,032			89,779			2,369			1,229			2,195			1,546			97,596			92,554
Cost of Revenues
Product licenses		899			641			—			—			—			—			899			641
Product support and services		12,181			10,563			—			—			—			—			12,181			10,563
Alarm.com hardware and services		—			—			593			960			—			—			593			960
Angel.com telephony services		—			—			—			—			381			348			381			348
Total cost of revenues		13,080			11,204			593			960			381			348			14,054			12,512
Gross profit		79,952			78,575			1,776			269			1,814			1,198			83,542			80,042
Operating Expenses
Sales and marketing		29,841			25,164			289			325			1,373			1,127			31,503			26,616
Research and development		9,417			7,476			356			291			629			590			10,402			8,357
General and administrative		12,214			12,712			2,738			382			105	(a)		—	(a)		15,057			13,094
Amortization of intangible assets		17			17			—			—			—			—			17			17
Total operating expenses		51,489			45,369			3,383			998			2,107			1,717			56,979			48,084
Income (loss) from operations		28,463			33,206			(1,607	)		(729	)		(293	)		(519	)		26,563			31,958
Financing and Other Income
Interest income (expense), net		893			759			(27	)		—			—			—			866			759
Other income (expense), net		122			(388	)		—			—			—			—			122			(388	)
Total financing and other income		1,015			371			(27	)		—			—			—			988			371
Income (loss) before income taxes	$	29,478		$	33,577		$	(1,634	)	$	(729	)	$	(293	)	$	(519	)		27,551			32,329
Provision for income taxes																				9,877			9,977
Net income																			$	17,674		$	22,352
Basic earnings per share																			$	1.47		$	1.77
Diluted earnings per share																			$	1.41		$	1.68
Basic weighted average shares outstanding																				12,055			12,662
Diluted weighted average shares outstanding																				12,556			13,277
(a)    An insignificant amount of general and administrative services is provided to the Angel.com business unit by MicroStrategy’s core business operations.
	Core BI Business						Alarm.com						Angel.com						Consolidated
	Twelve Months Ended December 31,						Twelve Months Ended December 31,						Twelve Months Ended December 31,						Twelve Months Ended December 31,
	2007			2006			2007			2006			2007			2006			2007			2006
Revenues
Product licenses	$	100,344		$	107,383		$	—		$	—		$	—		$	—		$	100,344		$	107,383
Product support and services		227,917			197,915			—			—			—			—			227,917			197,915
Alarm.com hardware and services revenue		—			—			15,301			3,537			—			—			15,301			3,537
Angel.com telephony services		—			—			—			—			7,112			4,988			7,112			4,988
Total revenues		328,261			305,298			15,301			3,537			7,112			4,988			350,674			313,823
Cost of Revenues
Product licenses		3,055			2,763			—			—			—			—			3,055			2,763
Product support and services		45,662			37,695			—			—			—			—			45,662			37,695
Alarm.com hardware and services		—			—			9,953			2,834			—			—			9,953			2,834
Angel.com telephony services		—			—			—			—			1,824			1,094			1,824			1,094
Total cost of revenues		48,717			40,458			9,953			2,834			1,824			1,094			60,494			44,386
Gross profit		279,544			264,840			5,348			703			5,288			3,894			290,180			269,437
Operating Expenses
Sales and marketing		104,525			83,261			1,116			1,006			5,911			4,149			111,552			88,416
Research and development		32,464			31,196			1,491			1,066			2,707			1,871			36,662			34,133
General and administrative		49,331			45,743			4,230			1,285			112	(a)		—	(a)		53,673			47,028
Amortization of intangible assets		71			71			—			—			—			—			71			71
Total operating expenses		186,391			160,271			6,837			3,357			8,730			6,020			201,958			169,648
Income (loss) from operations		93,153			104,569			(1,489	)		(2,654	)		(3,442	)		(2,126	)		88,222			99,789
Financing and Other Income
Interest income (expense), net		3,675			2,820			(27	)		—			—			—			3,648			2,820
Other expense, net		(683	)		(1,248	)		—			—			—			—			(683	)		(1,248	)
Total financing and other income		2,992			1,572			(27	)		—			—			—			2,965			1,572
Income (loss) before income taxes	$	96,145		$	106,141		$	(1,516	)	$	(2,654	)	$	(3,442	)	$	(2,126	)		91,187			101,361
Provision for income taxes																				32,719			30,485
Net income																			$	58,468		$	70,876
Basic earnings per share																			$	4.74		$	5.46
Diluted earnings per share																			$	4.55		$	5.20
Basic weighted average shares outstanding																				12,325			12,987
Diluted weighted average shares outstanding																				12,853			13,633
(a)    An insignificant amount of general and administrative services is provided to the Angel.com business unit by MicroStrategy’s core business operations.

7

MICROSTRATEGY INCORPORATED

CONSOLIDATED BALANCE SHEETS

(in thousands, except per share data)

	December 31,			December 31,
	2007			2006
	(unaudited)			(audited)
Assets
Current assets
Cash and cash equivalents	$	85,194		$	78,980
Restricted cash and investments		2,982			3,799
Accounts receivable, net		52,214			54,468
Prepaid expenses and other current assets		12,681			8,649
Deferred tax assets, net		29,652			29,510
Total current assets		182,723			175,406
Property and equipment, net		9,544			11,102
Capitalized software development cost, net		2,340			1,903
Deposits and other assets		11,433			2,461
Deferred tax assets, net		35,347			57,944
Total Assets	$	241,387		$	248,816
Liabilities and Stockholders’ Equity
Current liabilities
Accounts payable and accrued expenses	$	23,469		$	24,378
Accrued compensation and employee benefits		39,214			31,872
Deferred revenue and advance payments		64,302			56,578
Total current liabilities		126,985			112,828
Deferred revenue and advance payments		1,936			1,127
Other long-term liabilities		9,137			1,710
Total Liabilities		138,058			115,665
Stockholders’ Equity
Preferred stock undesignated, $0.001 par value; 5,000 shares authorized; no shares issued or outstanding		—			—
Class A common stock, $0.001 par value; 330,000 shares authorized; 14,112 shares issued and 9,183 shares outstanding, and 13,972 shares issued and 9,918 shares outstanding, respectively		14			14
Class B common stock, $0.001 par value; 165,000 shares authorized; 2,770 and 2,775 issued and outstanding, respectively		3			3
Additional paid-in capital		448,229			440,768
Treasury stock, at cost; 4,929 and 4,054 shares, respectively		(357,804	)		(268,776	)
Accumulated other comprehensive income		2,929			3,123
Retained earnings (Accumulated deficit)		9,958			(41,981	)
Total Stockholders’ Equity		103,329			133,151
Total Liabilities and Stockholders’ Equity	$	241,387		$	248,816

8

MICROSTRATEGY INCORPORATED

CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands)

	Twelve months ended
	December 31,
	2007			2006
	(unaudited)			(audited)
Operating activities:
Net income	$	58,468		$	70,876
Adjustments to reconcile net income from continuing operations to net cash provided by operating activities:
Depreciation and amortization		7,596			7,635
Bad debt provision		3,481			1,020
Deferred taxes		26,137			26,528
Share-based compensation		548			1,341
Excess tax benefits from share-based payment arrangements		(3,270	)		(4,479	)
Other, net		160			160
Changes in operating assets and liabilities:
Accounts receivable		(103	)		(10,727	)
Prepaid expenses and other current assets		(3,697	)		(2,108	)
Deposits and other assets		(1,434	)		(117	)
Accounts payable and accrued expenses, compensation and employee benefits		3,765			7,105
Deferred revenue and advance payments		5,001			7,891
Other long-term liabilities		1,244			(706	)
Net cash provided by operating activities		97,896			104,419
Investing activities:
Proceeds from maturities of short-term investments		—			112,666
Purchases of short-term investments		—			(58,900	)
Advance deposits on purchase of property and equipment		(7,500	)		—
Purchases of property and equipment, net		(3,476	)		(4,496	)
Capitalized software development costs		(2,650	)		(310	)
Decrease in restricted cash and investments		931			1,372
Net cash (used in) provided by investing activities		(12,695	)		50,332
Financing activities:
Proceeds from sale of class A common stock under employee stock purchase plan and exercise of employee stock options		3,293			6,094
Excess tax benefits from share-based payment arrangements		3,270			4,479
Purchases of treasury stock		(89,028	)		(131,959	)
Net cash used in financing activities		(82,465	)		(121,386	)
Effect of foreign exchange rate changes on cash and cash equivalents		3,478			3,297
Net increase in cash and cash equivalents		6,214			36,662
Cash and cash equivalents, beginning of period		78,980			42,318
Cash and cash equivalents, end of period	$	85,194		$	78,980

9