Microsoft discloses Azure revenue in dollars for the first time: $33.2 billion
Microsoft has for the first time reported Azure's quarterly revenue in dollars: $33.2 billion for July–September, up 48% year over year. The move allows a more direct comparison with Amazon's and Google's cloud businesses.
Microsoft, the US technology company, disclosed the dollar revenue of its Azure cloud platform for the first time on Wednesday as it reported quarterly results. Azure brought in $33.2 billion in the July–September quarter, up 48% from a year earlier. Until now, the company typically shared only growth percentages or described revenue milestones vaguely. The change lets investors compare Azure more directly with Amazon Web Services and Google Cloud, whose parent companies already report cloud revenue in dollars each quarter.
How it compares with rivals
Alphabet, Google's parent company, also reported earnings on Wednesday. It said Google Cloud generated $30.7 billion in the same quarter, slightly behind Azure. However, Google Cloud, which also includes Google Workspace subscriptions, roughly doubled its revenue year over year, growing about twice as fast as Azure, according to TechCrunch's calculations.
Amazon reports earnings on Thursday. Analysts expect growth from Amazon Web Services too. It is the largest cloud provider, and no one expects Microsoft to overtake it soon.
Microsoft's results
Azure is a platform where businesses rent computing power to run applications and to build and run AI models. By Microsoft's own figures, it is the company's largest and fastest-growing product line, accounting for roughly 36% of the $92.3 billion in quarterly revenue.
Azure's revenue beat the $32.3 billion analysts expected by about $850 million. Its 48% growth also exceeded the 44% to 45% that CFO Amy Hood forecast on the July earnings call.
Azure now sits within Agents and Infra, one of two new business segments introduced this quarter. It groups Azure with Microsoft 365's cloud business and brought in $76.8 billion, up 25% from a year earlier. Microsoft previously reported three segments: Productivity and Business Processes, Intelligent Cloud and More Personal Computing.
