Microsoft CEO Satya Nadella: We ‘Outgrew The Market In Every Category’
Wade Tyler Millward
‘We will invest to take share and build new businesses in categories where we have long-term structural advantage,’ Microsoft CEO Satya Nadella said on the company’s latest earnings call.
Nadella On Landing Large Deals
It was a record—even for us—even with the context of Q4 [Microsoft’s fourth fiscal quarter, which ended June 30]. So there’s obviously something going on in the macro environment, which it does feel that it plays to our strengths.
There are two things, at least, that I’ve observed. One is the—whether the bookings number or the MACC [Microsoft Azure Consumption Commitment] deals and the size of the MACC deals and the number of them I think speak to very much what weve been talking about for a long time now, which is as a percentage of GDP, IT spend is going to increase because every business is trying to fortify itself with digital tech to, in some sense, navigate this macro environment.
So that, I think, is probably what is reflected in those numbers. And then the second aspect is … we do have every layer of the tech stack, right? Whether it’s infra[structure], data, hybrid work, security, even Power Platform—in each one of these we do have this best-of-suite value, which includes best-of-category products. And that is leading to share gains.
So if you want to bet on a vendor on a long-term basis, where you have that best-of-suite value, and then you’re able to consume it on your terms—I think that that’s effectively what some of those numbers are indicative of.