Microsoft has reported impressive growth in its cloud business, with a 39% increase in Azure sales during the fiscal fourth quarter, surpassing analysts’ expectations of 34%. The cloud division’s sales exceeded $75 billion for the fiscal year ending June 30, marking a significant milestone for Microsoft. The company’s shares surged about 7% in extended trading, driven by strong performance in its cloud and AI infrastructure investments, which hit a record $24.2 billion in capital expenditures. Meanwhile, competitors Amazon and Alphabet have also unveiled major expansion plans in the cloud sector, with Alphabet projecting a capital expenditure increase to $85 billion in 2025 due to soaring demand for AI services. Microsoft’s overall sales rose 18% to $76.4 billion, significantly beating analysts’ forecasts. With robust investments in AI tools, Microsoft aims to enhance productivity software and cloud offerings while meeting rising demand for generative AI.
Source link
