Why Microsoft Azure has a good ability to execute

Microsoft's cloud computing business, Azure, has demonstrated strong ability to execute.

Microsoft Azure is quickly developing as one of the forefront players in the cloud computing market. So does it really deserve its recent low score from Gartner? Dot Net Solutions thinks not.

In Gartner's recent Magic Quadrant for Cloud Infrastructure as a Service it measured some of the biggest companies in the IaaS industry at the moment. Microsoft Azure did not score as highly as it should have.

One of the reasons for this, Gartner says, is because it was unsure of Azure's ability to execute.

However, Dan Scarfe of Dot Net Solutions says Azure actually does meet the criteria for this by Gartner's own definition. One of its more highly weighted factors is viability, which it defines by how successful a cloud business is demonstrated to be, whether it is financially able to keep delivering on the targets on its roadmap, and how important the cloud computing business is to the organisation's overall strategy.

Mr Scarfe explained that Microsoft's cloud computing business already meets this criteria. He said: "Windows Azure is already a $1 billion (£639,836) business. Storage and compute (and associated revenues) are doubling every six months. Cash shouldn’t be a problem with a $77 billion cash mountain which will be burning a hole in the pocket of Ballmer’s replacement. Azure has been the shining light in all of the recent press around Microsoft."

Another factor that Gartner considers closely when rating cloud computing businesses in its Magic Quadrant is track record. It defines this as a provider that evolves quickly and demonstrates high technological innovation, meaning it needs to demonstrate adaptability to its buyers' needs, change its offers accordingly and deliver its new services in a timely manner.

But Mr Scarfe explained that cloud is so central to Microsoft's plan now that Azure does fall in line with Gartner's definition: "Every major new Microsoft product will be Cloud first. The release cycle for new products has shifted from three years to one year. For Azure itself, it’s every three months."