cloud

Microsoft Races to Bring More Cloud Capacity Online

Microsoft faces cloud capacity challenges due to rising AI workloads, impacting Azure resources, CFO Amy Hood reported. Despite a 21% increase in cloud revenue to $40.9 billion, Azure struggles with power and space constraints. The company is investing $80 billion in AI data centers, having doubled its capacity over three years. Azure bookings grew 67%, driven largely by OpenAI's needs, which Microsoft plans to address by aligning capacity with demand by mid-2025.

https://www.ciodive.com/news/microsoft-azure-cloud-capacity-constraints-openai/738810/

How Tech Leaders Are Rethinking Their Cloud Strategies in the Face of Fast-rising Costs

Tech leaders are reevaluating cloud strategies due to rising costs, focusing on cost savings, application design, and generative AI. Akamai's Robert Blumofe emphasizes vendor diversification to escape reliance on major cloud providers, achieving a 40% reduction in public cloud spending through “Project Cirrus.” Johnson & Johnson's Jim Swanson adopts a multi-cloud approach for flexibility and cost optimization via a FinOps framework. Cybersecurity concerns grow as companies invest heavily in cloud services, while Palo Alto Networks highlights security benefits of cloud over traditional data centers. C3 AI strengthens ties with Microsoft through a sales partnership, underscoring the strategic shifts in cloud adoption.

https://fortune.com/2025/01/29/cloud-computing-spending-akamai-jj-c3ai/

Scroll to Top