Microsoft, also known as MSFT, had a roller coaster of a day as reports of their proposed purchase of Activision were blocked by the UK regulator (GOV.UK). This decision to prevent the deal was made to “protect innovation and choice in cloud gaming” due to concerns that the acquisition would drastically change the fast-growing cloud industry. Activision shares have taken a hit after the news while the overall stock market climbed higher, led by the Nasdaq, after Microsoft’s Q3 earnings report (Yahoo Finance).
According to Zacks, Microsoft’s Q3 earnings and revenues have beaten expectations due to the growth in their cloud business. However, this is offset by the decline in PC sales. Microsoft’s cloud strength and positive earnings report have led to their stock price rising significantly (Barron’s). The news of Microsoft’s earnings report and cloud strength have also led to the Nasdaq Composite advancing, jumping 1.2% (CNBC) and rallying (MarketWatch).
In other recent news, Microsoft has launched its first datacenter region in Poland to help accelerate innovation and digital transformation in the Polish Digital Valley (Microsoft News). This move is a key milestone for Microsoft and opens up new opportunities for developing the digital economy in Poland.
The day may have had some ups and downs for MSFT with their proposed purchase of Activision being blocked, but their positive earnings report and growth in their cloud business have helped boost their stock price and the overall stock market. Microsoft continues to innovate and expand, launching its first datacenter region in Poland to help accelerate digital transformation.
