Microsoft Cloud Service Revenues Skyrocket Past $50 Billion

Microsoft reported that sales rose 13 percent to $38 billion in its fiscal Q4, for a net profit of $11.2 billion. Largely due to continued demand for its Azure cloud-computing services, both figures exceeded Wall Street expectations. Microsoft’s revenue from the commercial cloud division “surpassed $50 billion for the first time ever in the latest fiscal year.” The company is also the target of a complaint Slack filed with the European Commission, accusing it of using its market power to crush rivals. Continue reading Microsoft Cloud Service Revenues Skyrocket Past $50 Billion

Microsoft Teams Faces Videoconferencing Rivals Zoom, Slack

Zoom Video Communications skyrocketed when the coronavirus pandemic necessitated remote working and learning. But Microsoft doubled down on creating competitive features for Microsoft Teams, and then promoting its videoconferencing and collaboration software to companies and organizations in need. When Zoom was temporarily sidelined by security issues, Microsoft saw its opportunity to step in. In New York City’s school district, for example, Microsoft established 110,000+ Teams while Zoom usage was on pause. Continue reading Microsoft Teams Faces Videoconferencing Rivals Zoom, Slack

Microsoft Planning for Teams to Become Ubiquitous Platform

Microsoft 365 corporate vice president Jeff Teper wants Microsoft Teams — the company’s fastest growing business app — to overtake Windows, currently on 1+ billion active devices. With the COVID-19 pandemic, Microsoft Teams is experiencing significant growth, with 75 million daily active users as of April 29, a 70 percent leap in six weeks. In April, 200+ million participants used Teams in a single day. Meanwhile, Microsoft is still promoting Skype, which in March passed 40 million daily active users (up 70 percent from the previous year), but for a different customer base. Continue reading Microsoft Planning for Teams to Become Ubiquitous Platform

Microsoft and NBA Sign Multiyear Deal for AI, Cloud Services

Microsoft and the National Basketball Association have inked a multiyear deal to build a consumer-facing digital platform to debut with the 2020-2021 season. The NBA will utilize the tech company’s Azure cloud computing and artificial intelligence capabilities to customize games and experiences. The deal’s terms were not revealed, but it covers all NBA properties including the Women’s National Basketball Association and USA Basketball. To win the deal, Microsoft bested cloud competitors Amazon and Google. Continue reading Microsoft and NBA Sign Multiyear Deal for AI, Cloud Services

Microsoft Commercial Cloud Business Drives Record Sales

Microsoft’s gross margins for its commercial cloud business (including Azure and Office 365) grew to 67 percent, driving the company’s robust fiscal Q2 earnings on record sales. Microsoft chief executive Satya Nadella revealed that revenue from this sector grew 39 percent to $12.5 billion. Company executives told analysts that the gross margins percentage will increase this year while margins rose for the fourth consecutive quarter, noting that this reflects the “huge opportunity” selling cloud products and infrastructure. Continue reading Microsoft Commercial Cloud Business Drives Record Sales

Big Tech Firms Call For Regulation, Lobby Specific Policies

At the World Economic Forum in Davos, major tech players such as Alphabet, Apple, Facebook and Microsoft asked lawmakers for regulations they once fought. Facing antitrust probes and pushback on AI, privacy and encryption among other issues, these companies believe laws are inevitable and want to have a role in creating them. They also fear a patchwork quilt of global laws. Most recently, the Justice Department sparred with Apple over its request for help to unlock the iPhones of the Saudi Arabian naval trainee who killed three people in Florida. Continue reading Big Tech Firms Call For Regulation, Lobby Specific Policies

Microsoft Bets on Internet of Things, Ends Xbox TV Feature

Although many observers would name Microsoft’s Xbox as the tech company’s biggest hardware business, chief executive Satya Nadella instead points to the company’s cloud. In fact, Microsoft is building an entire cloud infrastructure from data centers to servers and network stack. Nadella said that he doesn’t want the company to be defined “by what we achieved.” He pointed to the Internet of Things about to emerge. “We look at if there’s going to be 50 billion endpoints,” he said. “Let’s go … and define a strategy for that.” Continue reading Microsoft Bets on Internet of Things, Ends Xbox TV Feature

Terrorist Act Revives Clash Between Government and Apple

In the aftermath of a deadly shooting at a Naval air station in Pensacola, Florida that was later declared an act of terrorism, Attorney General William Barr requested that Apple provide access to the two iPhones used by the killer. He later complained that Apple has thus far provided no “substantive assistance.” The Saudi Arabian assassin, Second Lt. Mohammed Saeed Alshamrani, was training with the U.S. military but had earlier posted anti-American, anti-Israeli and jihadist screeds on social media. Continue reading Terrorist Act Revives Clash Between Government and Apple

Microsoft Targets Phone Market with Foldable Surface Duo

Having exited the smartphone market in 2017, Microsoft will rejoin it by the 2020 holiday season with the Surface Duo, a foldable, dual-screen device. Developed in collaboration with Alphabet, Microsoft’s Surface Duo will run on the Android operating system and feature the Google Play Store. Microsoft stated its intent to develop its own software for the device. The company also announced its Surface Pro X, a thinner version of its Surface Pro laptop, which features a custom-designed chip co-developed with Qualcomm. Continue reading Microsoft Targets Phone Market with Foldable Surface Duo

Microsoft Invests in OpenAI to Pursue Challenging AI Goal

With Sam Altman as chief executive, OpenAI, the nonprofit artificial intelligence lab he founded with Elon Musk, has become a for-profit company pursuing investments. In fact, Altman, who stepped down as head of Y Combinator, just inked an impressive $1 billion contract with Microsoft. With Microsoft as a marquee investor, OpenAI will now pursue its lofty goal of creating artificial general intelligence (AGI), a system that can mimic the human brain. Alphabet’s DeepMind lab is also pursuing the creation of AGI. Continue reading Microsoft Invests in OpenAI to Pursue Challenging AI Goal

Firms Pursue Frontline Workers, Walmart Expands VR Use

Microsoft, Google and Salesforce are now targeting the use of their technologies to an estimated two billion workers who don’t sit behind a desk. Microsoft, with its HoloLens, has been the most aggressive in pursuing so-called frontline or firstline workers who do production, sales and service work. Its chief executive Satya Nadella noted the potential growth in this sector. Walmart now uses virtual reality to assess the skills of an employee and determine if she is ready to move up to middle management. Continue reading Firms Pursue Frontline Workers, Walmart Expands VR Use

Microsoft’s Fiscal Q3 Boosted by Growth in Cloud Computing

Microsoft enjoyed a strong fiscal Q3, ending March 31, with revenue rising 14 percent from a year earlier to $30.57 billion, due largely to a 41 percent growth in cloud computing (now almost one-third of its sales) and a 9 percent uptick in sales of its Windows operating system to PC makers. A 5 percent decline of Windows sales in the previous quarter was due to a dearth of Intel computer chips, depressing PC sales. Chief financial officer Amy Hood said Microsoft also saw “unexpected good performance” in Japan. Continue reading Microsoft’s Fiscal Q3 Boosted by Growth in Cloud Computing

Microsoft HoloLens 2 Offers AI Processor, Cloud Connection

At MWC Barcelona (formerly Mobile World Congress), Microsoft introduced HoloLens 2, a new version of its four-year-old HoloLens headset, which is aimed at the enterprise use cases such as job training. Because the company is not targeting entertainment uses, HoloLens has maintained a low profile, focused on its corporate customers such as Bentley and Japan Airlines. Chief executive Satya Nadella stated his belief that “the next big tech breakthrough” will come from retail, healthcare or car manufacturing. Continue reading Microsoft HoloLens 2 Offers AI Processor, Cloud Connection

Microsoft Develops Hybrid Cloud Solution Strategy with Azure

Microsoft’s major investment in the cloud is beginning to pay off. In the last several quarters, this sector has grown so fast that the company’s market cap has soared to about $785 billion. Now, Microsoft reported that the results of its latest quarter have exceeded analyst expectations. When Satya Nadella became chief executive, Microsoft’s revenue largely came from marketing its Windows operating system on personal computers. Nadella turned the company towards cloud computing, with Azure as its core offering. Continue reading Microsoft Develops Hybrid Cloud Solution Strategy with Azure

Amazon, Microsoft Introduce Integration of Alexa and Cortana

Amazon and Microsoft gave a public demonstration of the integration of Alexa and Cortana into all Echo speakers and to all Windows 10 users. That means that a user can ask Windows 10’s Cortana to open Alexa, and ask Alexa on Echo speakers to open Cortana. This integration is now available to most users but will completely roll out around the country over the next week, said a Microsoft spokesperson. Some features, such as streaming music, audiobooks and news flashes will not be available at launch. Continue reading Amazon, Microsoft Introduce Integration of Alexa and Cortana

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