Microsoft has introduced that it needs to increase the lifespan of its cloud servers from 4 years to 6 years.
In a latest earnings name, Amy Hood, Microsoft’s chief monetary officer, mentioned she believes the transfer might save the tech big $3.7 billion in its 2023 monetary 12 months alone, and round $1.1 billion within the first quarter.
That is probably unwelcome information for companies reminiscent of Intel, AMD, and Ampere, which make thousands and thousands yearly supplying the {hardware} fueling Microsoft’s cloud infrastructure.
Why the transfer?
Hood attributed the altering velocity of the updates to investments in its software program “that elevated efficiencies in how we function our server and community gear in addition to advances in expertise have resulted in lives extending past historic accounting helpful lives”.
Microsoft is not the one huge tech agency that’s at the moment extending the life cycles of its {hardware}.
Each Amazon Net Providers and Google each added one other 12 months to the lifecycle of their cloud infrastructures in February 2022.
Something that helps Microsoft cope with the surging demand for cloud internet hosting could also be welcome information.
Know-how information web site The Info reported that two dozen Azure knowledge facilities internationally are working with restricted capability (opens in new tab), citing two Microsoft managers with data of the problem.
It is not all doom and gloom for knowledge heart {hardware} suppliers, nevertheless, with Meta simply one of many huge tech companies pouring cash into new knowledge facilities.
The agency spent $7.7 billion on capital expenditure in its newest quarter, with knowledge center-related investments representing a reasonably large chunk of the spending.
Through The Register (opens in new tab)
