Microsoft Azure low yield despite of strong FY quarter

Microsoft Azure vs AWS

Tech giant Microsoft analysts under anticipated is on posted quarterly results today that were well ahead of analysts’ expectations, but Azure’s growth rate continues to decline as it competes with AWS. The company’s revenue for the first quarter of the fiscal year rose 14% year-over-year to $33.1 billion. Net income increased 21% to $10.7 billion, or $1.38 per share.

Revenue from Microsoft’s Productivity and Business Processes segment, which includes its Office products and LinkedIn, grew 13% to $11.1 billion. LinkedIn’s revenue increased by 25%.

Meanwhile, its Intelligent Cloud segment’s revenue increased 27% to $10.8 billion, with revenue from server products and cloud services growing 30%. The company said Azure’s revenue grew by 59%, but that represents a decline in growth rate that began a year ago, when Azure clocked quarterly growth of 76%. The rate has fallen more since then, with today’s report representing a drop from the 64% growth reported in the previous quarter.

Revenue from Microsoft’s personal computing segment grew 4% to $11.1 billion.The company said it expects second-quarter revenue to be in the range of $35.15 billion to $35.95 billion.

Which is better cloud services provider?

On-demand cloud computing platform for AmazonPublic cloud platform for Microsoft 
Friendly with the open source model from the beginning.Not so good relationship with the open source community.
Has an edge over Azure in terms of government cloud offerings.Limited reach when it comes to government cloud offerings.
Flexible Pricing ModelComparatively less flexible pricing model when compared to AWS.
AWS is yet strengthening its offerings to support Hybrid clouds.Excels in Hybrid Cloud Space-Organizations can integrate onsite servers with Cloud instances.
AWS has a software marketplace with extensive partner ecosystem -Windows and LinuxWith limited Linux options, Azure is still building its partner ecosystem.
EBS storage is superfast for big data.Standard storage has difficulties for big data and hence premium storage is required.
More mature cloud environment for big data.Less mature for big data but Azure’s services are improving.
Machines can be accessed individually.Machines are grouped into cloud service and respond to the same domain name but different ports.
Elastic Compute Cloud (EC2); pay by the hour.Azure Infrastructure Services , pay by the minute.
S3 – Short-term archiving and retrieval.Long term data archiving and retrieval through Amazon Glacier.Blobs, Queues and Tables- Similar to S3.No long term data archiving and retrieval option yet.
Security is provided through user defined roles with exceptional permission controls.Provides security by enabling  permissions on the whole account.

Which is better Cloud service provider? Microsoft Azure or AWS?

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