Microsoft Corp. has revealed for the first time that its Azure cloud-computing unit generated more than $75 billion in sales during the 2025 fiscal year, underscoring the scale of a business that has become a cornerstone of the company’s operations.

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The disclosure, made Wednesday as part of the company’s quarterly earnings announcement, puts Azure firmly in second place behind Amazon Web Services (AWS), the long-time market leader in cloud infrastructure. AWS reported roughly $112 billion in revenue in the 12 months ended in March and is expected to release fresh earnings figures on Thursday.

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Azure, which sells on-demand computing power, data storage and artificial intelligence services, saw sales rise 34% in the fiscal year ended June 30, Microsoft Chief Executive Officer Satya Nadella said in a statement. Azure’s growth has been boosted by increasing demand for artificial intelligence workloads, particularly through its partnership with OpenAI, whose ChatGPT product is powered by Microsoft data centers.

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The company’s cloud figures have long been a point of contention for analysts. While Microsoft has consistently reported percentage growth rates for Azure, it previously bundled the unit’s revenue with sales from cloud-based versions of products like Office 365, making direct comparisons with rivals difficult.

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The new figure makes clear the relative position of the major cloud players. Alphabet Inc.’s Google Cloud, which also includes workplace productivity software, reported $49 billion in revenue in the year ended June. Oracle Corp.’s infrastructure cloud services generated $10.3 billion in the 12 months to May.‎

nce reliant on selling packaged software like Windows and Office, Microsoft has pivoted heavily toward internet-delivered services.

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The disclosure also sheds light on the size of the market itself. Analysts had estimated Azure’s annual sales at $82 billion for the year through June, according to data compiled by Bloomberg, with estimates ranging from $67 billion to $97 billion.

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