Microsoft Ad Revenue Up 21%, Makes DeepSeek RI Available In Azure

  • 01.30.2025
  • Source: Media Post
  • by: Laurie Sullivan
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Microsoft reported its second-quarter 2025 earnings Wednesday, showing its search and advertising revenue rose 21%. For the previous quarter, search and ad revenue was up 18%, then 19%, respectively. and before that it was 12% and 8%.

“We are innovating across our tech stack and helping customers unlock the full ROI of AI to capture the massive opportunity ahead," Satya Nadella, chairman and chief executive officer of Microsoft, wrote. “Already, our AI business has surpassed an annual revenue run rate of $13 billion, up 175% year-over-year.”

As of January 2025, Bing accounted for 12.23% of the global desktop search market, while Google had a share of around 78.83%.

Yahoo's market share was 3.07%, according to data from Statista. 

Overall, Microsoft revenue rose 12% to $69.6 billion in the quarter. Operating income rose 17% to $31.7 billion, while net income rose 10% to $24.1 billion and diluted earnings per share rose 10% to $3.23.

The impressive growth of Microsoft's ad revenue, particularly through its Azure-based DeepSeek RI platform, is a testament to the growing dominance of Big Tech in the advertising and data analytics space. While innovation and competition are essential drivers of progress, this development also raises important questions about market consolidation and the potential risks of data monopolies. Conservatives should champion policies that encourage transparency and fair competition, ensuring that smaller businesses and emerging players are not sidelined by the overwhelming influence of tech giants. Microsoft's advancements highlight the need for a balanced regulatory framework that fosters innovation while safeguarding the free market principles that underpin our economy.~Political Media
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