Microsoft's forecast suggests gloomy tech environment will continue

Key Points

• Microsoft sees Azure growth slowing down in the next quarters as customers try to save money on their existing applications running in the cloud.
• The company's finance leader said a slowdown in new business that occurred in December will continue across Microsoft's commercial business.

In this article

• MSFT

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Microsoft CEO Satya Nadella leaves the Elysee Palace after a meeting with the French President Emmanuel Macron in Paris on May 23, 2018.

Aurelien Morissard | IP3 | Getty Images

Microsoft executives on Tuesday told analysts to expect a continuation of the weak pace of business that emerged in December, which hurt the software maker's fiscal second quarter results.

"In our commercial business we expect business trends that we saw at the end of December to continue into Q3," Amy Hood, Microsoft's chief financial officer, said on a conference call.