Microsoft masters the cloud game

Microsoft didn’t rebuild its business around a possible global crisis, but the nature and timing of the pandemic certainly played to its strengths.

Like its big tech peers, the software giant has seen some distinct benefits from the coronavirus outbreak that has otherwise crippled much of the world economy. A rush of businesses scrambling to make their operations remote has driven demand for cloud-based services, while workers and students stuck at home are snapping up devices like PCs and tablets. Many of them are also passing the extra time with videogames.

All three helped Microsoft in its fiscal second quarter, which ended Dec. 31. The company reported Tuesday afternoon that revenue for the period jumped nearly 17% year over year to a record $43 billion. Results in all three of its business segments blew past Wall Street’s forecasts—as did profit.