Microsoft’s Commercial Cloud Revenue and Gross Profit (2016-2021)

This statistic highlights Microsoft’s Commercial Cloud Revenue and Gross Profit, reported from 2016 onwards.

Microsoft Corporation is a US based multinational technology company manufacturing and providing computer software, consumer electronics and related services. Founded by Bill Gates and Paul Allen, it is one of the world’s most valuable publicly traded company. It competes with Apple, Google, IBM and Oracle in several key areas of the technology sector. The company generates its revenue from the sale of various product and service offerings: devices, gaming, LinkedIn, enterprise services, search advertising, office products and cloud services, server products and cloud services, Windows and others in three main reportable segments: Intelligent Cloud, More Personal computing and Productivity and Business Processes.

Microsoft Commercial Cloud Revenue from external customers, classified by significant product and service offerings, for the three months ended March 31, 2018, was as follows:

The commercial cloud revenue, which includes Office 365 Commercial, Azure, the commercial portion of LinkedIn, Dynamics 365, and other commercial cloud properties, was $9.6 billion for the three months ended March 31, 2019, and $6.8 billion for the three months ended March 31, 2018, representing a 41 per cent growth primarily driven by Azure and LinkedIn engagement sessions. The commercial component of LinkedIn includes LinkedIn recruiter, premium business subscriptions and other services for business organizations. These amounts are primarily included in Office products and cloud services, Server products and cloud services, and LinkedIn in the table above.

The assessment of the commercial cloud revenue provides a comparable view of the company’s commercial cloud business performance.

Gross margin increased $2.9 billion or a 16 per growth driven by growth across the company’s three main reportable segments. This includes a 5-percentage point improvement in commercial cloud, primarily from Azure.

Company Overview

Microsoft Corporation, headquartered in Redmond, Washington, is a technology company striving to create local opportunity, growth and impact in every country around the world. The company’s platforms and tools help drive productivity and competitiveness of small and large business respectively and boost public-sector efficiency. 

The company is publicly traded on NASDAQ with a ticker symbol “MSFT”. The company’s flagship hardware products are Microsoft Surface and Xbox video game consoles and the best-known software products are Microsoft Windows OS, Internet Explorer and Microsoft Edge Web browsers.

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