Microsoft Discloses Azure Revenue as Cloud Business Consolidates
Microsoft has announced that it will start disclosing quarterly revenue for its Azure cloud business. This change is part of a broader shift in Microsoft's reporting structure, which is being condensed from three to two operating segments.
The current structure had been in place since 2015 and included the Azure unit as one of its components. Analysts have estimated that about half of Azure's revenue growth in the 2026 fiscal year came from OpenAI. In contrast to Amazon, which began disclosing AWS revenue in 2015, Microsoft will start providing actual sales for Azure on a quarterly basis.
The new structure will also exclude GitHub cloud services, developer cloud services, the Security Copilot assistant, and healthcare and life sciences cloud products from Azure's revenue figures. This change is intended to showcase the momentum of AI assistants, including the Microsoft 365 Copilot for commercial customers and the GitHub Copilot coding agent.