Microsoft Reveals Azure Revenue for the First Time

The disclosure aligns Microsoft’s reporting with competitors like Amazon and Google, allowing investors to compare cloud performance directly. Alphabet reported $30.7 billion for Google Cloud in the same period, placing Microsoft ahead in absolute terms. However, Google Cloud’s growth rate significantly outpaced Azure, effectively doubling its revenue from the previous year.

Azure now represents roughly 36% of Microsoft’s $92.3 billion in quarterly revenue, solidifying its position as the company’s largest product line. The performance exceeded analyst expectations by $850 million and surpassed the 44% to 45% growth forecast provided by CFO Amy Hood in July. Microsoft has reorganized its reporting to place Azure within a new segment dubbed Agents and Infra, which generated $76.8 billion. With Amazon Web Services set to report its own figures on Thursday, the market now has a transparent view of the escalating competition for cloud dominance.