- Microsoft's Q3 revenue reached $70.1 billion, with net income rising 18% to $25.8 billion, driven by cloud and AI demand.
- Cloud revenue grew 21% to $26.8 billion, and Azure constant-currency revenue surged 35%, with AI demand particularly strong in Azure AI.
- One analyst argues the software business, not just cloud, is the most underappreciated driver for Microsoft, pointing to untapped revenue potential.
- Microsoft expanded its partnership with Causaly to embed governed scientific research and agentic AI tools into Copilot and Microsoft 365 for life sciences R&D teams.
Quotes
“Microsoft's Q3 2025 earnings exceeded expectations, with revenue reaching $70.1 billion and net income rising 18% to $25.8 billion.”
“Investors understand Microsoft's cloud-computing opportunities, but may not be giving enough credit to the revenue potential of its software business.”