Mirror Review
August 1, 2025
In enterprise tech, few rivalries matter more than Microsoft and Amazon.
While one dominates business software, and the other rules online retail, their new battleground is the cloud and now, AI.
Both these giants just released their latest quarterly earnings, and these Microsoft earnings and Amazon earnings show a high-stakes race to control the future of enterprise infrastructure, AI-powered tools, and global cloud dominance.
With Microsoft’s Azure and Amazon’s AWS powering everything from startups to Fortune 500s, comparing their financials, AI moves, and business focus gives us a clear overview of their latest competitive landscape.
1. Revenue at a Glance – Who’s Scaling Faster, and Why It Matters
Why compare this:
Revenue and profit growth tell us how well each company is converting innovation into business value. This section sets the stage—who’s gaining financial momentum currently, and where?
| Metric | Microsoft (Q4 2025) | Amazon (Q2 2025) |
| Total Revenue | $76.4B (+18% YoY) | $167.7B (+13% YoY) |
| Cloud Revenue | $46.7B (+27% YoY) | $30.9B (+17.5% YoY, AWS) |
| Operating Income | $34.3B (+23% YoY) | $19.2B (+30.6% YoY) |
| Net Income | $27.2B (+24% YoY) | $18.2B (+34.8% YoY) |
Takeaway: Microsoft is seeing sharper growth in cloud and AI-related segments, but Amazon remains the larger revenue machine overall.
2. Azure vs AWS – The Cloud Showdown
Why compare this:
Azure and AWS are the backbone of the modern internet. Every major app, business service, or AI tool runs on one of these two. Understanding their growth reveals who’s winning the cloud infrastructure war.
Microsoft Azure Highlights:
- Azure & other cloud services: +39% YoY growth.
- Total Microsoft Cloud revenue: $46.7B.
- New AI-led demand across enterprise workloads.
- Azure now surpasses $75B annual revenue.
Amazon AWS Highlights:
- AWS revenue: $30.9B (+17.5% YoY).
- AWS operating income: $10.2B (vs $9.3B).
- Aggressively expanding with new AI tools like Bedrock AgentCore, DeepFleet, and Kiro IDE.
- Announced a multi-billion-dollar cloud infrastructure investment in the US & Australia.
Takeaway: Microsoft’s cloud is growing faster, but AWS still delivers higher operating income and broader global infrastructure projects.
3. AI – The Enterprise Weapon of Choice
Why compare this:
AI determines how businesses automate, innovate, and grow in the modern world. Both Amazon and Microsoft are pushing generative AI into the core of their platforms, but they’re doing it differently.
Microsoft’s Edge:
- OpenAI integration across Azure, Microsoft 365, and Dynamics 365.
- AI-led boosts in Microsoft 365 and Dynamics revenue.
- AI touted as core to “every workload.”
Amazon’s Bet:
- Launched Bedrock AgentCore, Strands Agents, and DeepFleet.
- AI is applied across logistics, robotics, retail, and media.
- Signed major AI deals with PepsiCo, Airbnb, Peloton, and more.
- New agentic IDE “Kiro” for developers.
Takeaway: Amazon is embedding AI deeper into its physical and digital services. Meanwhile, Microsoft, which turned 50 this year, is embedding AI across its entire enterprise software stack.
4. Enterprise Focus – Where They Align
Why compare this:
Both companies are chasing the same customer: the modern enterprise. But their strengths differ:
- Microsoft wins in software— Office, LinkedIn, Teams, Dynamics.
- Amazon dominates retail/logistics and now pushes into business services (Prime Video for enterprises, developer tools, AWS integrations). For customers, this means smarter apps, quicker deliveries, and better software experiences across industries.
Takeaway: Microsoft owns the productivity stack. Meanwhile, Amazon trends are building tools to reshape retail, logistics, and cloud-powered operations.
5. Bottom Line Comparison
Why compare this:
This recap ties it all together: revenue, innovation, and enterprise strategy, so that we can clearly see the contrasting strengths. It’s not just who earns more, but who’s better positioned for the next phase of tech.
| Company | Focus Strength | Cloud Growth | AI Innovation | Enterprise Reach |
| Microsoft | Software + Cloud + AI | High (+39%) | OpenAI, Azure | Deep across business |
| Amazon | Retail + Cloud + Infra AI | Moderate | Bedrock, AWS | Expanding with AWS |
Takeaway: Microsoft shows sharper momentum while Amazon shows scale and diversity.
Conclusion
Azure vs AWS isn’t just a cloud rivalry—it’s a full-on war for the future of how businesses operate.
Microsoft’s software-first approach, boosted by OpenAI, is seeing incredible traction.
Amazon, with its scale, logistics, and AWS innovation, is building an ecosystem that touches nearly every aspect of business and consumer life.
Ultimately, the real winner might be any business that combines the strengths of both.
