Microsoft Corporation (MSFT)’s Cloud Service Azure Goes Silent for Five Hours

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Microsoft Corporation (NASDAQ:MSFT) has confirmed that its cloud computing service, Azure, experienced  a massive outage yesterday; that lasted for five hours, but was able to return it back online according to Bloomberg’s, Jack Clark. Azure cloud-based platform is mostly used to create, deploy and maintain online applications, as well as services such as websites and web-host applications.

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Microsoft Corporation (NASDAQ:MSFT) confirmed that the disruption affected six major components in its multiple data centers that serve key regions. Microsoft competes with Amazon.com, Inc. (NASDAQ:AMZN) and Google Inc. (NASDAQ:GOOG) in offering cloud service. Concerns arose because outages experienced in Amazon’s and Google Inc. (NASDAQ:GOOG)’s clouds most of the time affect only a single region, completely different to what happened to Azure.

“This year the cloud division, which Azure sits in is predicted to do about $4.4 billion. Now, that’s maybe less than 5% of what Microsoft Corporation (NASDAQ:MSFT)’s predicted, full revenue for the year. But it is a strategic crucial area and as Satya Nadella said heading into a cloud fast mobile fast world this technology has to work,” said Mr. Clark.

The outages reported by Microsoft Corporation (NASDAQ:MSFT) recently were the biggest since it experienced a similar outage back in February of 2013. Azure remains a key component for Microsoft with an implied revenue of about $4.4 billion. The downturn of the service, according to Mr. Clark is sure not to go well with Microsoft’s CEO, Satya Nadella, but, on the other hand, is a clear indication of the massive demand that the service commands around the world thus the sudden misfortune.

“[…] Given his background working in R&D in the company’s server and online services division, he knows just how hard this stuff is, so while he is going to be a little grumpy he knows that this is a good sign. If Microsoft Corporation (NASDAQ:MSFT) is having problems like this it means there is lots of demand for its cloud services as well […],” said Mr. Clark.

Disclosure: none

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