Microsoft Adjusts Business Department Structure and Updates Revenue Outlook

TapTechNews August 22nd news, Microsoft announced the adjustment of the structure of some of its business departments and updated the revenue outlook of the corresponding departments to reflect these changes.

Microsoft said that these changes include consolidating the revenue of the commercial components of Microsoft 365 into its Productivity and Business Processes department, transferring the revenue of the Copilot Pro artificial intelligence productivity tool to its More Personal Computing department, which includes the search and news advertising business. In addition, Microsoft also transferred the revenue of Nuance Enterprise from the Intelligent Cloud department to the Productivity and Business Processes department, and changed to combine and report the revenue of Windows and devices.

TapTechNews noted that Microsoft also updated the performance outlook for the first quarter of fiscal year 2025 for each department after the reorganization. Due to these changes, the company now expects the revenue of the Productivity and Business Processes department to be between 27.75 billion and 28.05 billion US dollars, while the previous prediction was 20.3 billion to 20.6 billion US dollars. The revenue of the Intelligent Cloud department is expected to be between 23.8 billion and 24.1 billion US dollars, while the previous outlook was 28.6 billion to 28.9 billion US dollars. The revenue of the More Personal Computing department is expected to be between 12.25 billion and 12.65 billion US dollars, while the previous expectation was 14.9 billion to 15.3 billion US dollars.