Microsoft at JMP Securities Conference

posted in: Notes | 0

A digest of some of the top insights that I’ve gathered from this week’s earnings calls.  Full notes can be found here.

Qi Lu, EVP of Applications and Services business

Four big opportunities


“one is computing moving to cloud and this is once in several decades paradigm shift for mainframe to client servers to the cloud. That’s a massive change, creating a lot of opportunity for different type of products and business model, that’s number one.”

Mobile/edge computing

“Second is edge computing, moving substantially beyond PC with the desktop platform, the bulk of the modern devices.”

Digital connection

“it used to be in the last couple of decades the digital connection between human beings typically is email but now these digital connections goes way beyond the emails with rich content and also the energy of those digital connections are often mobile devices, that’s the third one.”

Big data/Machine learning

“Fourth one is equally important which is big data and machine learning because the cost of such a digital observation and the cost of processing those digital data becomes cheaper and cheaper.”

Cloud and mobile are MSFT’s emphasis

“Satya Nadella, new CEO made it very clear Microsoft is described in cloud first and mobile first, strategically they are very important for us.”

In the cloud you always get the benefit of upgrade

“In the older on-premise world, many people familiar with office products that we ship new versions every few years, and in reality it takes the IT department of a large ownership lot of effort to upgrade. So there is actually usually only a percentage of customers actually get the benefit of the new products. Once you move to the cloud world, you always immediately get the benefit of new innovations, new experiences”

Continuous understanding and planning

“much more importantly cloud enabled services; the software has the ability to immediately observe customer behavior, so to respond to customer needs in far more agile way. Our entire organization is going through a profound change so that we can follow along the continuous development, we have continuous development, continuous quality, continuous intelligence, using business intelligence”