In fiscal year 2020, Microsoft’s 365 generated $ 20 billion of Microsoft’s $ 143 billion in revenue. Last year, this amount was only 13.2 billion.
A few days ago, Microsoft was proud to let the world know that in the fiscal year ended June 30, 2020, the revenue from its “commercial cloud” portfolio exceeded $ 50 billion. As usual, the notice did not explain how the revenues from each service would be distributed within this, but the company gave some partners access to the details.
At a Microsoft internal Ready conference, insiders said technology giant CFO Amy Hood said the company’s $ 143 billion in revenue went to Microsoft 365 (i.e. Windows / Office 365 / Enterprise Mobility + Security packages). , an increase of more than 50 percent compared to the previous year’s result.
The most expensive and most knowledgeable Microsoft 365 E5 / Office 365 E5 grew from $ 4.2 billion last year to $ 7.5 billion, and Dynamics 364 E5 from $ 1.6 billion to $ 2.2 billion. As for Azure, Hood said Microsoft targeted 60 percent growth for the fourth quarter, of which it managed to deliver 59 percent. The size of the deals has grown significantly and more and more Azure stores fall into the $ 10 million category.
The collective term “commercial cloud” appeared in Microsoft’s financial reports in 2015: at that time, the company’s officials planned annual revenues of 20 billion for 2018, but this was already achieved in October 2017. The key elements of the portfolio are currently Azure, Office 365 business services (Exchange Online, SharePoint Online, Skype for Business Online, Microsoft Teams), Dynamics 365 cloud services, “commercial” LinkedIn services and the Enterprise Mobility + Security Suite.