IT Pro is supported by its audience. When you purchase through links on our site, we may earn an affiliate commission. Learn more

Microsoft Azure revenues climb 50% as cloud demand continues

Cloud computing takes centre stage in Microsoft's Q2 results as remote working fuels growth

Microsoft brought in revenues of $43.1 billion for the second quarter of fiscal 2021, a 17% year-on-year increase that was fueled by businesses' continued demand for cloud services. 

The company reported that Office commercial products and cloud service revenues increased by 11%, with Office 365 commercial revenue up 21% and Microsoft 365 consumer subscriptions increasing from 45.3 million to 47.5 million. 

Microsoft has reported impressive growth reported across almost all its services throughout 2020. At the very beginning of the pandemic, the firm reported massive adoption figures for Microsoft Teams which surpassed 44 million daily active users. 

For Q2, cloud computing services took centre stage. Dynamics 365 revenue was up 39%, Intelligent Cloud climbed 23% and Microsoft's server business recorded growth of 23%. As a result, its Azure cloud platform grew 50% year-over-year, the company said.

"What we have witnessed over the past year is the dawn of a second wave of digital transformation sweeping every company and every industry," said Microsoft CEO Satya Nadella. 

Related Resource

Achieve today. Plan tomorrow. Making the hybrid multi-cloud journey

A Veritas webinar on implementing a hybrid multi-cloud strategy

How to transition to a hybrid multi-cloud strategy - a recorded webinarDownload now

"Building their own digital capability is the new currency driving every organisation's resilience and growth. Microsoft is powering this shift with the world's largest and most comprehensive cloud platform."

Elsewhere, Microsoft reported a 23% increase in LinkedIn revenue, and Windows Commercial and Surface growth of 10% and 3%, respectively. The biggest increase, however, was its Xbox content and services revenue, which climbed by 40% during the three-month period. 

The results showcase the breadth of services Microsoft offer and how well it has responded to the outbreak of COVID. Compared to other cloud providers, such as IBM, the company has seen increases in almost every segment of its business. 

The growth in Azure, and cloud services, in particular, suggest that remote working is likely to continue, even beyond a full rollout of the coronavirus vaccine. 

Featured Resources

Activation playbook: Deliver data that powers impactful, game-changing campaigns

Bringing together data and technology to drive better business outcomes

Free Download

In unpredictable times, a data strategy is key

Data processes are crucial to guide decisions and drive business growth

Free Download

Achieving resiliency with Everything-as-a-Service (XAAS)

Transforming the enterprise IT landscape

Free Download

What is contextual analytics?

Creating more customer value in HR software applications

Free Download

Most Popular

Europe's first autonomous petrol station opens in Lisbon
automation

Europe's first autonomous petrol station opens in Lisbon

23 May 2022
Nvidia pauses hiring to help cope with inflation
Careers & training

Nvidia pauses hiring to help cope with inflation

23 May 2022
Open source packages with millions of installs hacked to harvest AWS credentials
hacking

Open source packages with millions of installs hacked to harvest AWS credentials

24 May 2022