Redmond, Washington-based
Microsoft Corporation has announced that it excepts its cloud computing revenue to leap to $20 billion by 2018. The corporation, which is headed by CEO Satya Nadella, made its name selling Microsoft Office software for PCs, but has recently becomes a "mobile-first, cloud-first" company that has been driven towards cloud-based services that are sold on subscription. With current revenues in the region of $6.3 billion, Microsoft's cloud expectations mean its cloud activity will have to enjoy a threefold increase between now and 2018.
The announcement came from CEO Satya Nadella who was talking at Microsoft's build developer conference, which is currently being held in San Francisco until May 1, 2015. He was reported on the Nasdaq website as saying: "So we have an ambition to get to $20 billion of annualized run rate in the cloud in FY18. So that's our target, and that's what we're going to pursue with the strategy I just laid out. And this, by the way, is about really the combination of what we today have in Office 365, Dynamics, EMS, Azure."
Mr. Nadella's announcement came in the wake of figures that suggest a profitability decrease for the corporation in the quarter ending March 31 2015. However, this news in turn comes after the company saw a year-on-year 100% increase in cloud computing revenue. Cloud computing per se is enjoying substantial growth. Amazon has also reported cloud growth of 49% over the last year, with quarterly revenue of $1.57 billion.
Satya Nadella suggests cloud computing will be the most adopted platform in the future. Do you agree? Add your comments below.
