Microsoft Reveals Azure Sales, Trails AWS in Cloud Computing Market
Microsoft has revealed its Azure sales for the first time in a move that sheds light on the company's cloud business. The disclosure allows direct comparison of Microsoft's results with those of Amazon and Google, its biggest rivals in the rapidly expanding cloud computing market.
The figures show that Azure revenue totaled $29.4 billion in the latest completed quarter and $101.9 billion for the fiscal year ended June 30. On a quarterly basis, Microsoft trailed Amazon Web Services, which reported sales of $42.2 billion, but outpaced Google Cloud, which generated $24.8 billion.
Microsoft's decision to disclose Azure sales marks a change in its financial reporting structure. The company is moving from three reporting segments to two, with the 'Agents and Infrastructure' segment including cloud computing, artificial intelligence software, and traditional enterprise software products.
As Satya Nadella, CEO of Microsoft, noted, artificial intelligence represents profound change for both technology and business, changing what we build and how we work, blurring boundaries between products and creating new business models.