In a difficult period for big tech companies, which in recent months have started mass layoffs and a sharp downsizing of programs, theThe first quarter of 2023 was a good time for Microsoft and Google which, driven by their respective cloud divisions, beat analysts’ expectations for financial results.
Google and Microsoft exceed expectations: positive quarterly thanks to the cloud
Per Microsoft, the quarter closed with a net income of 18.3 billion dollars, a figure higher than the 16 billion estimated by analysts. Revenue is also higher than expected: the quarter ends with almost $53 billion in revenue against the expected $50.93 billion.
Googleinstead, it registers a turnover of more than 69 billion dollarsgrowing by +3%, and net income down $1.05 billion. Again, these are better results than analysts’ expectations.
For both companiesthe role of the cloud becomes more and more relevant. Google, for example, reported revenue growth of +28% from its cloud division, capable of raising more than $7 billion in the quarter. Microsoft’s cloud revenue, on the other hand, grew by +27%, exceeding analysts’ expectations.
Cloud services, therefore, are becoming increasingly important, especially in a difficult period for the whole big tech sector and, more generally, for the economy. The quarterly reports from Microsoft and Google cthey confirm theimportance of an industry intended to cover a leading role in the coming years.