A rise in Microsoft's share price: "The concept of the Future" by Ned?

September 24, Satya Nadella, Microsoft's Global CEO Satia Nadra, made his first visit to China this February. In addition to talks with Yang Xueshan, vice Minister of industry and Information technology, Nadra also attended Microsoft's high-end cloud client summit, which focused on its public cloud platform, Windows Azure and Office customers, highlighting Microsoft's "cloud first" strategy.

Subsequently, Nadra with Microsoft's "Innovation Cup" and "Young Spark Program," the outstanding students of the dialogue, Nadra said Microsoft's current financial situation is good, layoffs just to better "spend money on the right place."

In fact, since Nadra took office, Microsoft has also set a record high in the company's share price, from the beginning of its initial period to now, Microsoft's share price rose to 26% to 46.04 U.S. dollars, compared with the same period last year, Microsoft's share price rose 40%, more than the standard and poor 500 index 18%.

While Microsoft has repeatedly been criticized for its products and strategy, Microsoft's share price has made a big breakthrough in terms of capital trends.

And Nadra will continue this stock price trend? Perhaps also depends on "move first, cloud first" strategy can carry out the end, in the financial results.

Microsoft shares continue to rise

The first visit to China was very low-key, and Microsoft did not hype the action, but still in the industry has aroused widespread concern.

At Microsoft's high-end cloud client summit, Nadra is Microsoft's platform for cloud platforms, saying that cloud computing has become a real productivity tool and platform in China, where Windows Azure, run by the age of the century, has been officially commercially available for 6 months, and now more than 20,000 customers have windows The Azure public cloud platform is used for business operations.

"We hope that the cloud platform will play a greater role in China, accelerate the transformation of enterprises by promoting business development, reduce operating costs and improve productivity, and help more customers achieve change and innovation in the development model by creating a new service platform." "Nadra said.

On February 4 this year, Nadra was appointed CEO of Microsoft's Board of directors, and after Nadra came to power, Microsoft began a series of changes, including the application of many Microsoft products across the platform

, Windows licensing for specific devices starts free, and so on. Of course, it also includes the biggest layoffs in Microsoft's history, and in mid-July this year, the announcement of Microsoft's top priority is reshaping the "core", from the Ballmer of Gates and Ballmer to a PC-centred shift to establishing "mobile devices + cloud computing" as the focus of strategic direction.

Prior to joining Microsoft in 1992, Nadra a major strategic and technological transformation covering Microsoft's main products and services, most notably Microsoft's move towards cloud computing and the creation of a cloud infrastructure to support Bing, Xbox, Office and other services. The department's performance was radical when it took charge of Microsoft's server and Tools division.

Some U.S. analysts told reporters that July 2013, when Microsoft's chief executive Ballmer announced a massive restructuring of Microsoft. Although Ballmer eventually left office, the fact that Microsoft's share price soared was the result of a restructuring plan.

This year, the PC industry represented by Windows has not been a popular future story for investors, influenced by slowing growth in the PC industry, and Microsoft's mandated distribution of business models makes it difficult for partners to continue their business model in the face of open source and free flow.

The US stock analysts told reporters that Microsoft's management changes, and the concept of the future, as well as the measures taken since taking office, have further increased the share price of Microsoft, from the 30-40-dollar period, to break 40 trillion this year.

"Cloud" will be a growth point

U.S. stocks analysts told reporters that stock prices do not necessarily reflect the real situation of the current business, especially in the United States technology companies, more is to show an investor's expectations of the future situation of the company. "Many people think that Ballmer is Microsoft in the PC era of a leader, from a substitution point of view, you can see Microsoft's determination to change, the end of the PC era at the core of the era." The U.S. stock analyst told reporters.

"It is only God who can do it, and whether it will go up, it still needs to look at the future of Microsoft's earnings under the new strategy," he said. The U.S. stock analyst told reporters.

In July this year, Microsoft released its earnings for the fourth quarter, which ended June 30 this year, with Microsoft's overall revenue of $23.382 billion, which grew 18% per cent compared with $19.896 billion a year earlier, and a net profit of 4.612 billion dollars, down 4.965 billion from 7% dollars in the same period last year.

In terms of earnings, Microsoft's main revenue still comes from equipment and consumer-mandated revenue, up to $4.694 billion trillion, $4.288 billion a year earlier, and gross profit of $4.407 billion trillion, the same period of 3.881 billion dollars in the previous year.

It is noteworthy that Microsoft Office 365 revenue has increased by more than one times, and azure revenue has increased by more than 150%, this is Microsoft's real growth of the fastest business.

Sun Yongjie, a senior IT analyst, said in an interview with the 21st Century Economics report that the main reason for the overall rise in Microsoft's share price was that core revenue was standing, and the cloud platform was growing at an alarming pace as a new business.

"Because the current mobile phone system platform level has been occupied by Android and Apple's main market share." As a platform-led company, the opportunities are now slim. Sun Yongjie that Nadra's proposed move is a very broad concept, with a cross-platform layout at the application level, not just for Microsoft's Windows platform, but also for iOS and Android systems. "For mobile, it is worth exploring whether Microsoft, as a platform-level company, can simply move around through apps," he said. Sun Yongjie told reporters.

Cloud-first strategy seems to be more bullish. Earlier, Microsoft Greater China Vice President and marketing and operations general manager Zhi Jiqing in the 21st century Economic Report reporter interview, also said that the cloud platform will be Microsoft's next Windows.

Sun Yongjie also said that "the future growth of Microsoft may be presented in the cloud of Microsoft's growth." "If all future applications are based on a cloud platform, and Microsoft has a bigger market share or even a standard, that means Microsoft has captured the control of the cloud platform," he said.

(Responsible editor: Mengyishan)