Microsoft announced this week that Azure has doubled its cloud compute usage over a year ago. Azure is currently ranked #2 behind Amazon AWS in terms of cloud computing usage and revenue. Microsoft added that revenue growth rates has doubled over a year ago. Microsoft’s meteoric rise has been mostly due to its support of Linux platforms. Azure compute usage have shot up since Linux distros have been made available.
According to ZDNet, Windows 10 is now running on 270 million devices. At one time, Microsoft was targeting 1 billion devices by 2018. Whether they reach the goal will depend on sales of PCs, which has been slowing down the last few years. PC sales peaked about 5 years ago.
Microsoft has been going through a transformation over the years. It has been slow, but the changes are dramatic if you haven’t been paying attention. Microsoft no longer makes a ton of money on the Windows platform. Far from it. Just take a look at the areas where Microsoft made the most money this past year based on revenue.
- Server and Cloud Services (Azure)
- Gaming (Xbox)
- Microsoft Office
- Windows OS
Windows OS is only 10% of Microsoft’s total revenue, and it grew a paltry 5% despite the Windows 10 release last year. Sales on Azure on the other end, grew a whopping 140% more than last year.