AT&T announced on Wednesday that it will be using Microsoft’s Azure infrastructure and most of its employees into Microsoft 365 package of productivity apps and security services. This was a great deal for Microsoft’s Franchise itself.
Persons familiar to the process revealed the information to CNBC with the confidential tag. Since Microsoft is chasing to align with Amazon Web Services in the Cloud infrastructure market, this deal will do a significant job since AT&T represents both heavy buyer and significant storage and computing needs for over 250,000 staffers.
This proves to be of a greater advantage on Microsoft’s side over the Amazon Web services since already a lot of online retailers and e-commerce websites like Gap, Kroger, Albertsons and Walmart has denied funding Amazon any longer due to increasing competition. At the same time, AT&T who has been a high demand consumer of Microsoft and moved into cloud technology for the latest app design.
John Donivan, CEO of AT&T Communication business addressed CNBC that the reason behind selecting Microsoft is that it has a strong ability and track of creating and recreating themselves into the digital platform.
This Partnership is expected to improve the market value of Microsoft by 26 times in the next 12 months. The highest since 2002.
AT&T is becoming the public cloud first service company while moving its app from data centers to Azure and employees in communication sector to Microsoft 365 which involves Windows 10, Office 365 mobility and security services.
Both teams are visualizing a plan on enabling 5G services in instantaneously functioning AI-powered live voice translation that will revolutionize the face of Communication in today’s world where a quick need of communication can be powerfully bridged. The two companies are ambitious about fulfilling the demand for broad-based commercially-led innovation.
Microsoft Investors are tracking and estimating the continuous expansion of Azure which grew 73% in the last quarter though the exact numbers in business have not been released by the company. Since the day Satya Nadella elevated to the post of CEO In 2014, the cloud services have been the greatest achievement and driving force behind the success of the organization. This empowered the company further to encompass the $1 trillion market cap and stand up to the World’s Most valuable publicly-traded company position.
To be counted among the benefits, this partnership is a golden deal to the history and to-be-future of Microsoft as a whole.