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Microsoft Pri0

Welcome to Microsoft Pri0: That's Microspeak for top priority, and that's the news and observations you'll find here from Seattle Times technology reporter Matt Day.

April 29, 2013 at 3:54 PM

Windows Azure now one of Microsoft’s billion-dollar businesses

It’s a big deal at Microsoft when one of its products or services joins its billion-dollar club,  the ones that bring in a billion dollars or more of revenue a year.

The latest to join that club: the Windows Azure cloud platform, which launched in 2010. Curt Anderson, chief financial officer of Microsoft’s Server and Tools division, told Bloomberg News that annual sales of  Windows Azure software and related software programs have now surpassed $1 billion.

According to the article:

About 20 percent of companies tapping the cloud use Azure, compared with 71 percent usage for Amazon, according to James Staten, an analyst at Forrester Research Inc. (FORR) Within a year, Microsoft can command as much as 35 percent, he said.

“I expect them to double annually from here,” Staten said of Microsoft’s Azure revenue.

Microsoft has been expanding Azure, recently adding Windows Azure Infrastructure Services, in addition to its “platform as a service” offering.

According to Microsoft, Windows Azure currently has more than 200,000 customers and is adding about a thousand more a day.

Windows Azure now joins the dozen or so businesses within Microsoft that brings in more than a billion dollars of revenue a year. That list, according to Ars Technica, includes: Windows, Windows Server, Office, SQL Server, Exchange, SharePoint, Xbox, Visual Studio, Dynamics, System Center, and online advertising.

Microsoft said during its recent third quarter earnings report that Office 365 is on pace to become a billion-dollar business by the end of Microsoft’s fiscal year in June.

Businesses within Microsoft that the company is cultivating to join the club, according to ZDNet, are: Windows Intune, Bing Maps,  StorSimple, Perceptive Pixel and Parallel Data Warehouse.

Comments | More in Microsoft | Topics: azure, windows azure

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