Microsoft saw slower Azure growth and device execution challenges in a quarter where it took a $1.2 billion charge, mainly for cutting 10,000 jobs.
, revise its hardware lineup and consolidate leases. The charge includes $800 million in employee severance costs.
Revenue in Microsoft's Intelligent Cloud segment amounted to $21.51 billion, up 18% and slightly above the $21.44 billion consensus among analysts polled by StreetAccount. The unit includes the Azure public cloud, Windows Server, SQL Server, Nuance and Enterprise Services. Revenue from Azure and other cloud services, which Microsoft does not report in dollars, grew by 31%, slightly above the estimate of just under 31% that analysts polled by CNBC and StreetAccount had expected.
Hood said she expects Azure cloud growth to slow again in the fiscal third quarter. She said in December it was in the mid-30% range in constant currency in December, and she sees it going down 4-5 percentage points in the fiscal third quarter.shares rose as much as 3% in after-hours trading immediately following Microsoft's announcement, before going negative.
The More Personal Computing segment featuring Windows, Xbox, Surface and search advertising contributed $14.24 billion, representing a revenue decline of 19%. Sales of Windows licenses to device makers declined some 39% year over year, decelerating from a decline of 15% in the fiscal first quarter. Technology industry researcher Gartnerthat during the fourth quarter of 2022 the PC business had its slowest growth since the company started keeping track of the market in the mid-1990s.
Malaysia Latest News, Malaysia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Microsoft beats on earnings as cloud unit shows strong growthMicrosoft saw a slowdown in Azure growth during a quarter in which it took a $1.2 billion charge for layoffs, lease consolidations and hardware lineup changes.
Read more »
Tesla, Microsoft, Boeing earnings, along with GDP top week aheadApple's new macbook, as well as earnings from Visa, Mastercard, and American Express and most major airlines including JetBlue and Southwest headline a busy week.
Read more »
Earnings Watch: Microsoft, Tesla and Intel are about to face the doubtersTesla, Intel and Microsoft face bigger questions about the path forward, after their shares took a beating last year.
Read more »
Analysis | Microsoft’s big bet on AI could bring ChatGPT to the massesBuzzy AI tools like ChatGPT could be coming soon to a workplace near you, as Microsoft makes a big bet on artificial intelligence.
Read more »
Microsoft invests billions in ChatGPT-maker OpenAIMicrosoft says it is making a 'multiyear, multibillion dollar investment' in the artificial intelligence startup OpenAI, maker of ChatGPT and other tools that can write readable text and generate new images.
Read more »
OpenAI Confirms Huge Partnership With Microsoft, Which Just Laid Off 10,000 PeopleHot off the heels of Microsoft's round of mass layoffs, OpenAI has officially confirmed that it's 'extending' its partnership with the tech giant.
Read more »