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Microsoft's Xbox and Surface business keep growing amid the pandemic

And of course, its cloud business continues to boom.
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LONDON, UNITED KINGDOM - 2020/07/03: Microsoft logo seen at one of their stores.
Microsoft has said it will keep all of its retail locations closed permanently, including London's Flagship store in Oxford Circus which opened just one year ago. The company says it will reimagine some of its spaces that serve its customers, including the Microsoft Experience Centre in London. (Photo by Keith Mayhew/SOPA Images/LightRocket via Getty Images)
SOPA Images via Getty Images

Just like Microsoft’s previous quarter, the software giant isn’t taking much of a hit from the coronavirus epidemic. Amid strong revenues of $38 billion (up 13 percent from last year), the company’s Q4 earnings report reveal that its Xbox content and services business has increased by 65 percent from a year ago. Surface sales, meanwhile, jumped up by 28 percent, reaching $1.7 billion. Those figures aren’t too surprising, given the increasing demand for PCs to manage work and school at home, as well as games to keep us all sane as we’re trapped inside.

And of course, Microsoft’s cloud business is doing better than ever, with revenues of $13.4 billion. That’s a 17 percent increase from last year, which also includes a 47 percent revenue jump for its Azure cloud.

“The company is still benefiting from businesses, governments and schools reacting to the crisis and I think that was reflected in the numbers,” analyst Patrick Moorehead said in a statement. He added, “While I am not yet concerned with the declining Azure numbers as the revenue base is growing, it's something to keep our eyes on. I can imagine, given the pandemic, how difficult full digital transformations would be without having employees at work.”

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