While all companies have reported a strong growth in cloud businesses, Microsoft has managed to beat other big players by reporting an increase of 93 percent for its Azure cloud service revenue, beating both Amazon Web Services and Google Cloud.
According to the financial report for Q3 FY18, Microsoft had a great quarter, with an increase in revenue across all its departments but the biggest surprise was cloud revenue ending up at US $6 billion, an increase of 58 percent compared to the same quarter last year with Azure cloud service scoring an increase of an impressive 93 percent, compared to the same quarter last year.
According to the earnings call transcript, Microsoft’s CEO, Satya Nadella was quite keen to note that the intelligent cloud and the intelligent-edge era is upon us, adding that the company “took significant steps this quarter to put this at the forefront of everything we do”, and “realigning our entire engineering organization to accelerate innovation and better serve the needs of customers and partners”.
He also added that the architectural advantage of a consistent stack from the cloud to the edge is resonating with customers, with Azure revenue growth of 93 percent this quarter, with surveys showing their leadership position in hybrid, developer productivity, trusted security and compliance and new workloads such as IoT and AI at the edge.
A big part of Nadella’s talk during the earnings call was about the cloud, Azure, Industrial IoT (IIoT), IaaS, PaaS, and SaaS.
Microsoft has been pushing hard last few quarters including its announcement of the Azure Sphere, as well as strengthening its offer across the board, so it does not come as a surprise that the company managed to get on top of other cloud businesses.