Azure GrowthThe guidance for the next quarter's Azure growth came in below expectations due to continuing capacity constraints, which may impact short-term performance.
Financial PerformanceCAPEX spending surged by 50% YoY to US$14.9bn, leading to a contraction in gross and operating margins due to investments in AI infrastructure and costs related to the Activision Blizzard acquisition.
Market PerceptionRe-segmentation of the business is going to make it more difficult for investors to easily understand the results, potentially leading to confusion as consensus estimates do not fully reflect the re-segmentation.