Microsoft finally puts a dollar figure on Azure, and narrows what Azure means

Microsoft will report Azure revenue in dollars each quarter for the first time, having grown it 42% to $29.42B in the June quarter under a new two-segment structure. The European Commission reached a preliminary position in June that Azure should be designated a gatekeeper, with a final decision expected by the end of the year.

Microsoft will report Azure’s revenue in dollars every quarter for the first time. The change comes with a broader reporting overhaul, CNBC reported.

The number is substantial. Azure grew 42% to $29.42B in the June quarter under the new structure, close to 33% of Microsoft’s total revenue.

The operating segments drop from three to two, a structure in place since 2015. They become Agents and Infra, and Devices and Consumer, according to the company presentation.

What counts as Azure is narrowing at the same time. GitHub cloud services, developer cloud services, the Security Copilot assistant and healthcare and life sciences products all come out of the line.

“Azure becomes more purely our consumption-based platform and infrastructure business“, Satya Nadella wrote. That is close to the perimeter Brussels has spent a year drawing under its toughest tech rules.

The Commission opened market investigations into Amazon Web Services and Azure in November 2025. The question was whether cloud services should carry gatekeeper obligations under the Digital Markets Act.

The route it took matters. Cloud infrastructure does not generate the monthly active end users the DMA’s automatic thresholds assume, so the Commission had to demonstrate the position rather than count it.

Doing that without the revenue figure was the difficulty. Amazon has disclosed AWS since 2015, and Microsoft has published only a growth rate.

In June the Commission reached a preliminary position that both should be designated, in a joint investigation team with the Dutch competition authority, finding they occupy very strong positions.

Designation brings interoperability duties, limits on self-preferencing and curbs on customer lock-in. Fines reach 10% of global turnover, and 20% for repeated breaches.

A final decision is expected this year. The first published Azure figure and that decision now land in the same quarter.

Microsoft has not connected the two, and nothing here suggests it should be. Segment changes of this size take many months to prepare.

Analysts at Stifel estimated in July that about half of Azure’s growth in the 2026 financial year came from OpenAI. Europe is about to get a quarterly figure for infrastructure its own analysts already call a political risk.