The following table shows the revenue of Microsoft from commercial Cloud from 2014-2018. Sums are in millions.
Commercial cloud ($billions)
Microsoft’s Commercial cloud revenue, which mainly includes Microsoft Office 365 commercial, Microsoft Azure, Microsoft Dynamics 365, and other cloud properties, grew 56% to $23.2 billion in 2018. Last year,it stood at 14.9 Billion dollars.
“Microsoft is a technology company whose mission is to empower every person and every organization on the planet to achieve more (Annual Report, 2018)”.
It generates revenue by licensing and supporting a large array of software products; offering a wide range of cloud-based and other services to individuals and business enterprises; designing, manufacturing, and selling devices; and through relevant online advertising to a global audience. Most significant among Microsoft’s expenses are those related to employee compensation; designing, manufacturing, marketing, and sales of products and services; datacenter costs that support its cloud-based services; and income taxes.
The most significant product categories which generate the highest part of the company’s revenue are Office products and cloud services, Server products and cloud services, Windows, Gaming, Search advertising, enterprise services, Devices, Linked In and Others. On December 8, 2016, Microsoft completed the acquisition of LinkedIn Corporation for $27.0 billion.