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And, in fact, just last month we announced our vision for Copilot, an everyday AI companion. Together, these two breakthroughs will unlock massive new opportunity. This generation of AI helps us interact with data in powerful new ways-from completing or summarizing text, to detecting anomalies and recognizing images-to help us identify patterns and surface insights faster than ever. But in a world rich with data, what has been most scarce is our ability to reason over it. For years, we’ve digitized daily life, places, and things and organized them into databases. The second is the emergence of a powerful new reasoning engine. We believe we have now arrived at the next big step forward-natural language-and will quickly go beyond, to see, hear, interpret, and make sense of our intent and the world around us. The long arc of computing has, in many ways, been shaped by the pursuit of increasingly intuitive human-computer interfaces-keyboards, mice, touch screens. The first is the most universal interface: natural language. There are two breakthroughs coming together to define this new era of AI. And, finally, we will continue to drive operating leverage, aligning our cost structure with our revenue growth.Īs we make progress on these priorities, we delivered strong results in fiscal year 2023, including a record $211 billion in revenue and over $88 billion in operating income. Second, because we know that maximum enterprise value gets created during platform shifts like this one, we will invest to accelerate our lead in AI by infusing this technology across every layer of the tech stack. To build on this progress, we remain convicted on three things: First, we will maintain our lead as the top commercial cloud while innovating in consumer categories, from gaming to professional social networks. And, Taiwan’s Ministry of Education has built an online platform to help elementary and high school students learn English using Azure AI.Nonprofit The Contingent is matching foster families with children in need using Dynamics 365, Power BI, and Azure, with an eye on using AI to amplify its work across the US.Lumen Technologies is helping its employees be more productive, enabling them to focus on higher value-added activities, by deploying Microsoft 365 Copilot.Mercedes-Benz is making its in-car voice assistant more intuitive for hundreds of thousands of drivers using ChatGPT via the Azure OpenAI Service.Mercado Libre is reducing the time its developers spend writing code by more than 50 percent with GitHub Copilot, as the company works to democratize e-commerce across Latin America.Leading electronic health records vendor Epic is addressing some of the biggest challenges facing the healthcare industry today-including physician burnout-by deploying a wide range of copilot solutions built on Azure OpenAI Service and Dragon Ambient eXperience Copilot.Here are just a few examples of how we are already doing this: As a company, we believe we can be the democratizing force for this new generation of technology and the opportunity it will help unlock for every country, community, and individual, while mitigating its risks. Today, we are doing so once again, as we lead this new era.Īmid this transformation, our mission to empower every person and every organization on the planet to achieve more remains constant. Forty-eight years after its founding, Microsoft remains a consequential company because time and time again-from PC/Server, to Web/Internet, to Cloud/Mobile-we have adapted to technological paradigm shifts. This next generation of AI will reshape every software category and every business, including our own. At the same time, we have entered a new age of AI that will fundamentally transform productivity for every individual, organization, and industry on earth, and help us address some of our most pressing challenges. As I write this, the world faces ongoing economic, social, and geopolitical volatility. We are living through a time of historic challenge and opportunity. Dear shareholders, colleagues, customers, and partners: