Microsoft predicted on Tuesday that due to the booming cloud business, the calendar year will usher in a strong end, but said that supply chain difficulties will continue to plague key departments, such as the production of Surface laptops and Xbox game consoles.
The company’s first quarter ended September 30 exceeded Wall Street expectations, and demand for the software giant’s cloud-based services caused by the pandemic drove sales. According to Visible Alpha’s consensus data, the company’s flagship cloud computing business Azure’s revenue growth in the first quarter was 48% at a constant exchange rate, exceeding analysts’ expectations of 47.5%. Amy Hood, Microsoft’s executive vice president and chief financial officer, said the company also expects the division to achieve “broad growth” in the second fiscal quarter.
Azure’s growth rate is the best direct measure of competition with competitors such as AWS and Google Cloud, because Microsoft does not separate revenue from the cloud computing division.
News Source : The Hindu
