What does Microsoft do?
Microsoft’s business segments:
🔸Productivity: it is mostly about Office 365, or Office Suits on the cloud.
🔸Intelligent cloud: Azure is Microsoft’s cloud platform, which rents out cloud computing for third parties.
🔸Personal computing: it is about Windows operating systems, Xbox gaming and other Microsoft made hardwares, all targeted toward consumers.
How fast does Microsoft grow?
🔸Productivity: it is growing at 9%, a stable rate considering the fact that its main product Office has existed for a long time. However, its growth may speed up due to the AI infusion into the Office products.
🔸Intelligent cloud: at 17% growth rate, Azure is truly the driver of Microsoft’s revenue growth, and will continue to drive its growth due to the high demand from generative AI applications.
🔸Personal computing: its negative growth at -9% mostly comes from the declining sale of Windows operating systems. It is no surprise as more people are opting for mobile phones or tablets to go onlines.
How does Intelligent cloud (Azure) grow in the past 5 years?
Intelligent cloud business has been growing at an average 22.6% in the past 5 years from 2019 to 2023, a truly remarkable achievement.
