Microsoft reorganizes its finances into two divisions and will break down quarterly Azure revenue for the first time

Microsoft just changed the way it tells us how much money it makes. From now on, the company has finished dividing its accounts into three large traditional blocks. As we have been able to know thanks to The VergeSatya Nadella is going to simplify it into just two big areas of business. One will be Agents and Infrathat is, agents and infrastructure, and the other Devices and Consumerthat is, devices and consumption.

In addition to this, there is a novelty that the markets have been crying out for for years. The information explains that starting in the first fiscal quarter of 2027, the technology giant will finally will break down the exact quarterly billing for Azurewhich until now had been a mystery.

How much does Microsoft make with Azure?

Until now, Microsoft was playing a bit of a game with the economic performance of its cloud. Instead of giving us clear figures, was limited to dropping year-on-year growth percentages. Well, the new scheme seeks to ensure that Azure’s metrics purely reflect its consumption-based infrastructure business. In practice, this means that they will draw from that shaker the income from GitHub Cloud, developer services, Security Copilot and even their cloud tools for the health sector. Thus, the Azure data will be much more precise.

As Satya Nadella himself has explained, the explosion of AI has a lot to do with this decision, because this ubiquitous technology has reconfigured everything from its internal operations to business models. This new accounting structure will go live at the end of October, at which time they will separately detail how Azure, Microsoft 365 Cloud, its professional solutions and the advertising division perform.

Separating infrastructure from ordinary consumers

If you’re wondering how the pie is divided, the sources point to a fairly logical system. On the one hand, we have Agents and Infra, where Microsoft puts all its central infrastructure. Here server products, sector solutions, AI models and versions of Microsoft 365 will coexist, both for companies and consumers. According to the calculations collected The Wall Street Journalwe are facing a monstrous division that will generate some 75,000 million dollars in the first quarter of next year alone. It is, indisputably, the great economic engine of the group.

At the opposite end is Devices and Consumer. As its name indicates, the entire ecosystem aimed at the end customer and advertising will end up here. We are talking about putting in the same bag the Xbox division, which is not going through its best moment, the sales of Windows licenses that come with PCs, the brand’s own hardware, the Bing search engine and even LinkedIn ads. The forecast for this block? About 15 billion dollars for the same period.

With all this on the table, it is easy to see the two heads of Microsoft. The company wants to draw a very thick and defined line between what it sells to other companies and what we users consume at home.