At present, there are four bigger stories: Amazon, Apple, Facebook and Google. Or also the Faang (Facebook, Apple, Amazon, Netflix and Google). However, in both cases there is absent Microsoft. Anyway, In the last financial year, the company registered more than two and a half hours of what Facebook registered, eight times more than the Netflix figure, and followed the alphabet.
And is Microsoft now a Windows company. From the hand of its CEO, Saya Nadella, It has become a company for a new technology era, with software services and licenses, which has allowed it to grow back by betting on the cloud and transforming its business model completely.
Basically, income and profits are derived from three businesses: office products (to increase productivity), Azure (the smart cloud) and Windows (personal and commercial computing). This diversification gives many ways of growth and profitability. The biggest thing she has is Azure, which produced 76% of revenue growth in the last quarter.
Before, the company focused on Windows and PC, he remained closed to work together. He refused to put Microsoft Office on the iPad and work with Linux, the open source platform. Today, however, the Office is on the iPad and on Android devices, it has partnerships with competitors such as Salesforce and Dropbox and, in the acquisition of Github, developments in its commitment to open source software. Today, more than 40% of Azure virtual machines run on Linux.
In this way, the company It has significantly changed its business model by moving from the sale of software licenses to a cloud based subscription service. Although this reduces the direct revenue from the sale of software, the creation of a continuous revenue stream is underway. In cloud computing, Azure runs behind Amazon Web Services and in front of Google.