As Microsoft recently turned into the world's most valuable company, the company's intelligent cloud seems to have no limit. Microsoft's stock surged more than 45 per cent this year, with pandemic-induced demand for its cloud-based services driving sales.
Microsoft's strong financial results are heavily dependent on the cloud side of its business, and the most recent quarterly results are no exception.
According to a report by Statista, of the total $45.3 billion revenue recorded, 17.0 per cent was from the segment 'Intelligent Cloud' - the highest Q1 figure so far, which translated to $7.6 billion of operating income.
“Digital technology is a deflationary force in an inflationary economy. Businesses, small and large, can improve productivity and the affordability of their products and services by building tech intensity. The Microsoft Cloud delivers the end-to-end platforms and tools organizations need to navigate this time of transition and change” Statista quoted Satya Nadella, Microsoft chairman and chief executive officer.
With cloud technology, gaming companies can also reduce reliance on hardware and yet offer seamless gaming experiences. The only requirement will be fast internet and is readily available in all global markets.
Japan-based Sega Sammy Holdings, the maker of the popular games--'Yazuka', 'Persona', 'Total Wars' and 'Sonic the Hedgehog' -- has announced exploring a tie-up with Microsoft's Azure cloud platform to deliver high-end gaming titles to its loyal gamers.
"By working with Microsoft to anticipate such trends as they accelerate further in future, the goal is to optimise development processes and continue to bring high-quality experiences to players using Azure cloud technologies," Sega said.
Meanwhile, Apple Inc lost its crown as the world's most valuable public company to Microsoft Corp on Friday, as the iPhone maker's shares continued their downward slide.
Apple took a $6 billion hit to its sales during the fiscal fourth quarter due to a nagging global supply chain problem, leading to a miss on Wall Street expectations.
Apple, which has repurchased $421.7 billion over the years, had announced a massive $90 billion share buyback in April. As a result, the company's outstanding stock pool keeps shrinking, ending its fiscal fourth quarter with 16.4 billion shares.
With inputs from Reuters
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