Tag Archives: azure

A post that can save you money: scheduling Azure Virtual Machines for start/stop

I have written recently about Windows Virtual Desktop, the ability to set up a virtual desktop environment on Azure at a relatively low cost, provided your users have Microsoft 365 accounts. My test setup is minimal but I have been watching the cost which is currently working out at £5.39 per day. This excludes the cost of Microsoft 365; it is purely for the infrastructure including VPN gateway, storage and VM. Bandwidth is a variable cost but almost negligible on my usage. Of that cost, the VM is around 75%. So if I could shut down the VM when not in use the savings are substantial.

It turns out this is pretty easy on Azure though it requires some plumbing. VMs do have a built-in option to shutdown on a schedule, but not to start up. To get start/stop, you need an Automation Account.

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With the automation account created, select it, hit Start/Stop VM, then click “Learn more about and enable the solution”.  You get this dialog.

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Here we learn that to save money, we have to spend it, on three new services: Automation, Log Analytics, and Monitor. It is not too bad though as there is a free tier for these services that may be all I need. Hit Create.

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In this window you have to configure three sections. Nothing challenging, but note that in Configuration you set the Target Resource Group Names. No pick list here, you have to type in the names. Or use a wildcard, which is unlikely to be a good idea since by default it will start and stop ALL your VMs. The schedule is not very smart, just a daily on and off, but see below. Once done, click Create to add the solution.

All done, but what about weekends, for example. This is easily fixed if you create your own schedules. Just go into your automation account and click Schedules under Shared Resources. The wizard-created schedules are listed, and you can modify them or create new ones. It looks as if you might need 5 schedules, one per weekday, recur every week, to make your VMs not run at weekends. There is no Monday-Friday option.

More documentation here. Note that automation can also run PowerShell scripts which will be even more flexible.

Scheduling cloud resources to shut down when not in use must be one of the most effective ways to reduce IT spend.

Update: here is the outcome of my efforts:

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The Management resource group has the runbook that performs the start/stop action. The cost of this is small. Overall cost has gone down by about £2.00 or about 40% in my case. I appreciate this is a very small test deployment, but it would support maybe 4 or 5 users without any problem and my experience shows that you can indeed make a large saving by scheduling VMs to stop when not in use.

Microsoft is making lots of money. Anything else notable in its first quarter financials?

Microsoft has released its statements for the first quarter in its financial year, ending 30th September. Here is the segment breakdown. Everything has moved in the right direction.

Quarter ending September 30th 2018 vs quarter ending September 30th 2017, $millions

Segment Revenue Change Operating income Change
Productivity and Business Processes 9771 +1533 3881 +875
Intelligent Cloud 8567 +1645 2931 +794
More Personal Computing 10746 +1368 3143 +578

The segments break down as:

Productivity and Business Processes: Office, Office 365, Dynamics 365 and on-premises Dynamics, LinkedIn

Intelligent Cloud: Server products, Azure cloud services

More Personal Computing: Consumer including Windows, Xbox; Bing search; Surface hardware

Any points of interest? In his earnings call statement, CEO Satya Nadella talked Teams, the Office 365 conferencing and collaboration solution:

“Teams is now the hub for teamwork for 329,000 organizations, including 87 of the Fortune 100. And, we are adding automated translation
support for meetings, shift scheduling for firstline workers, and new industry-specific offerings including healthcare and small business.”

He also mentioned Power Apps and Flow, interesting to me because they are the most successful so far of the company’s efforts to come up with a low-code development platform:

“Power BI, Power Apps and Flow are driving momentum with customers and have made us a leader in no-code app building and business analytics in the cloud.”

He also mentioned the pending GitHub acquisition, which he says is “an opportunity to bring our tools and services to new audiences while enabling GitHub to grow and retain its developer-first ethos.”

Note that despite the cloud growth, Windows remains the biggest single segment in terms of revenue.

Determining how much of Microsoft’s business is “cloud” is tricky. The figures in the productivity segment lump together Office 365 and on-premises products, while Office 365 itself is in part a subscription to desktop Office, so not pure cloud. Equally, the “intelligent cloud” segment includes on-premises server licenses. No doubt this fuzzing of what is and is not cloud in the figures is deliberate.

Microsoft’s 82 Ignite announcements: what really matters

Microsoft’s PR team has helpfully summarised many of the announcements at the Ignite event, kicking off today in Orlando. I count 82, but you might make it fewer or many more, depending on what you call an announcement. And that is not including the business apps announcements made at the end of last week, most notably the arrival of the HoloLens-based Remote Assist in Dynamics 365.

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Not all announcements are equal. Some, like the release of Windows Server 2019, are significant but not really news; we knew it was coming around now, and the preview has been around for ages. Others, like larger Azure managed disk sizes (8, 16 and 32TB) are cool if that is what you need, but hardly surprising; the specification of available cloud infrastructure is continually being enhanced.

Note that this post is based on what Microsoft chose to reveal to press ahead of the event, and there is more to come.

It is worth observing though that of these 82 announcements, only 3 or 4 are not cloud related:

  • SQL Server 2019 public preview
  • [Windows Server 2019 release] – I am bracketing this because many of the new features in Server 2019 are Azure-related, and it is listed under the heading Azure Infrastructure
  • Chemical Simulation Library for Microsoft Quantum
  • Surface Hub 2 release promised later this year

Microsoft’s journey from being an on-premises company, to being a service provider, is not yet complete, but it is absolutely the focus of almost everything new.

I will never forget an attendee at a previous Microsoft event a few years back telling me, “this cloud stuff is not relevant to us. We have our own datacenter.” I cannot help wondering how much Office 365 and/or Azure that person’s company is consuming now. Of course on-premises servers and applications remain important to Microsoft’s business, but it is hard to swim against the tide.

Ploughing through 82 announcements would be dull for me to write and you to read, so here are some things that caught my eye, aside from those already mentioned.

1. Azure confidential computing in public preview. A new series of VMs using Intel’s SGX technology lets you process data in a hardware-enforced trusted execution environment.

2. Cortana Skills Kit for Enterprise. Currently invite-only, this is intended to make it easier to write business bots “to improve workforce productivity” – or perhaps, an effort to reduce the burden on support staff. I recall examples of using conversational bots for common employee queries like “how much holiday allowance do I have remining, and which days can I take off?”. As to what is really new here, I have yet to discover.

3. A Python SDK for Azure Machine Learning. Important given the popularity of Python in this space.

4. Unified search in Microsoft 365. Is anyone using Delve? Maybe not, which is why Microsoft is bringing a search box to every cloud application, which is meant to use Microsoft Graph, AI and Bing to search across all company data and bring you personalized results. Great if it works.

5. Azure Digital Twins. With public preview promised on October 15, this lets you build “comprehensive digital models of any physical environment”. Once you have the model, there are all sorts of possibilities for optimization and safe experimentation.

6. Azure IoT Hub to support the Android Things platform via the Java SDK. Another example of Microsoft saying, use what you want, we can support it.

7. Azure Data Box Edge appliance. The assumption behind Edge computing is both simple and compelling: it pays to process data locally so you can send only summary or interesting data to the cloud. This appliance is intended to simplify both local processing and data transfer to Azure.

8. Azure Functions 2.0 hits general availability. Supports .NET Core, Python.

9. Helm repositories in Azure Container Registry, now in public preview.

10 Windows Autopilot support extended to existing devices. This auto-configuration feature previously only worked with new devices. Requires Windows 10 October Update, or automated upgrade to this.

Office and Office 365

In the Office 365 space there are some announcements:

1. LinkedIn integration with Office 365. Co-author documents and send emails to LinkedIn contacts, and surface LinkedIn information in meeting invites.

2. Office Ideas. Suggestions as you work to improve the design of your document, or suggest trends and charts in Excel. Sounds good but I am sceptical.

3. OneDrive for Mac gets Files on Demand. A smarter way to use cloud storage, downloading only files that you need but showing all available documents in Mac Finder.

4. New staff scheduling tools in Teams. Coming in October. ”With new schedule management tools, managers can now create and share schedules,employees can easily swap shifts, request time off, and see who else is working.” Maybe not a big deal in itself, but Teams is huge as I previously noted. Apparently the largest Team is over 100,000 strong now and there are 50+ out there with 10,000 or more members.

Windows Virtual Desktop

This could be nothing, or it could be huge. I am working on the basis of a one-paragraph statement that promises “virtualized Windows and Office on Azure … the only cloud-based service that delivers a multi-user Windows 10 experience, is optimized for Office 365 Pro Plus … with Windows Virtual Desktop, customers can deploy and scale Windows and Office on Azure in minutes, with built-in security and compliance.”

Preview by the end of 2018 is targeted.

Virtual Windows desktops are already available on Azure, via partnership with Citrix or VMWare Horizon, but Microsoft has held back from what is technically feasible in order to protect its Windows and Office licensing income. By the time you have paid for licenses for Windows Server, Remote Access per user, Office per user, and whatever third-party technology you are using, it gets expensive.

This is mainly about licensing rather than technology, since supporting multiple users running Office applications is now a light load for a modern server.

If Microsoft truly gets behind a pure first-party solution for hosted desktops on Azure at a reasonable cost, the take up would be considerable since it is a handy solution for many scenarios. This would not please its partners though, nor the many hosting companies which offer this.

On the other hand, Microsoft may want to compete more vigorously with Amazon Web Services and its Workspaces offering. Workspaces is still Windows, but of course integrates nicely with AWS solutions for storage, directory, email and so on, so there is a strategic aspect here.

Update: A little more on Microsoft Virtual Desktop here.

More details soon.

Microsoft’s strong financials, and some notes on Azure vs AWS and the risks of losing in mobile

Microsoft delivered another strong set of figures in its latest financial results, for the period April-June 2018. Total revenue of $30.085 million was up 17% year on year, and all three of the company’s sectors (Office, Azure and consumer) showed strong growth.

What’s notable? Largely this is more of the same. A few things to note. Linked in revenue increased 37% year on year – an acquisition that seems to be making sense for the company. Dynamics 365 revenue grew by 65%. The Dynamics story is all about cloud synergy. As an on-premises product Dynamics CRM (the part of the suite I know best) was relatively undistinguished but as a cloud product the seamless integration between Office 365 and Dynamics 365 (and Azure Active Directory) makes it compelling.

Windows 10 is doing OK, possibly as more businesses heave themselves off Windows 7 and buy new PCs with OEM licenses as they do.

Even areas in which Microsoft is far from dominant did well. Gaming was up 39%, Surface 25% and Search advertising up 17%.

The biggest growth in the quarter, according to the breakdown here, was in Azure. up 89%. This growth is not without pain; the Register reports capacity issues in the UK South region, for example, with users getting the message “Unfortunately, due to high demand for virtual machines in this region, we are not able to approve your quota request at this time.” You can still create VMs, but not necessarily in the region you want.

Will Microsoft outpace AWS? My take on this has not changed. AWS does very little wrong and remains the pre-eminent cloud for IAAS and many services by some distance. What AWS does not have is Office 365, or armies of Microsoft partners helping enterprise customers to shunt more and more of their IT infrastructure into Azure. Microsoft makes more money from licensing: Windows Server, SQL Server, Office 365 and Dynamics seats, and so on. AWS does more business at a lower margin. These are big differences. I see it as unlikely that Azure will overtake AWS in the provision of essential cloud services like VMs, containers, cloud storage and so on. AWS also has a better reliability track record. However, the success of Azure means that enterprise customers no longer need to go to AWS to get the benefits of cloud. Perhaps the more interesting question is the extent to which AWS (or Google) can persuade enterprise customers to shift away from Microsoft’s high-margin applications.

Longer term, there is significant risk for the company in its retreat from mobile. We are now seeing Google work hard in the laptop market with Chromebooks alongside Android mobile. Coming sometime is Google Fuchsia which may be a single operating system for both. It is worth recalling that Microsoft built its success on winning users for its PC operating system; and that IBM lost its IT dominance by ceding this to Microsoft.

Here is the breakdown by segment, such as it is:  

Quarter ending June 30th 2018 vs quarter ending June 30th 2017, $millions

Segment Revenue Change Operating income Change
Productivity and Business Processes 9668 +1140 3466 +575
Intelligent Cloud 9606 +1784 3901 +990
More Personal Computing 10811 +1576 3012 +826

The segments break down as:

Productivity and Business Processes: Office, Office 365, Dynamics 365 and on-premises Dynamics, LinkedIn

Intelligent Cloud: Server products, Azure cloud services

More Personal Computing: Consumer including Windows, Xbox; Bing search; Surface hardware

Inside Azure Cosmos DB: Microsoft’s preferred database manager for its own high-scale applications

At Microsoft’s Build event in May this year I interviewed Dharma Shukla, Technical Fellow for the Azure Data group, about Cosmos DB. I enjoyed the interview but have not made use of the material until now, so even though Build was some time back I wanted to share some of his remarks.

Cosmos DB is Microsoft’s cloud-hosted NoSQL database. It began life as DocumentDB, and was re-launched as Cosmos DB at Build 2017. There are several things I did not appreciate at the time. One was how much use Microsoft itself makes of Cosmos DB, including for Azure Active Directory, the identity provider behind Office 365. Another was how low Cosmos DB sits in the overall Azure cloud system. It is a foundational piece, as Shukla explains below.

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There were several Cosmos DB announcements at Build. What’s new?

“Multi-master is one of the capabilities that we announced yesterday. It allows developers to scale writes all around the world. Until yesterday Cosmos DB allowed you to scale writes in a single region but reads all around the world. Now we allow developers to scale reads and writes homogeneously all round the world. This is a huge deal for apps like IoT, connected cars, sensors, wearables. The amount of writes are far more than the amount of reads.

“The second thing is that now you get single-digit millisecond write latencies at the 99 percentile not just in one region.

“And the third piece is that what falls out of this high availability. The window of failover, the time it takes to failover from one region when a disaster happens, to the other, has shrunk significantly.

“It’s the only system I know of that has married the high consistency models that we have exposed with multi-master capability as well. It had to reach a certain level of maturity, testing it with first-party Microsoft applications at scale and then with a select set of external customers. That’s why it took us a long time.

“We also announced the ability to have your Cosmos Db database in your own VNet (virtual network). It’s a huge deal for enterprises where they want to make sure that no data leaks out of that VNet. To do it for a global distributed database is specially hard because you have to close all the transitive networking dependencies.”

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Technical Fellow Dharma Shukla

Does Cosmos DB work on Azure Stack?

“We are in the process of going to Azure Stack. Azure Stack is one of the top customer asks. A lot of customers want a hybrid Cosmos DB on Azure Stack as well as in Azure and then have Active – Active. One of the design considerations for multi master is for edge devices. Right now Azure has about 50 regions. Azure’s going to expand to let’s say 200 regions. So a customer’s single Cosmos DB table spanning all these regions is one level of scalability. But the architecture is such that if you directly attach lots of Azure Stack devices, or you have sensors and edge devices, they can also pretend to be replicas. They can also pretend to be an Azure region. So you can attach billions of endpoints to your table. Some of those endpoints could be Azure regions, some of them could be instances of Azure Stack, or IoT hub, or edge devices. This kind of scalability is core to the system.”

Have customers asked for any additional APIs into Cosmos DB?

“There is a list of APIs, HBase, richer SQL, there are a number of such API requests. The good news is that the system has been built in a way that adding new APIs is relatively easy addition. So depending on the demand we continue to add APIs.”

Can you tell me anything about how you’ve implemented Cosmos DB? I know you use Service Fabric. Do you use other Azure services?

“We have dedicated clusters of compute machines. Cosmos DB is a Ring 0 service. So it’s there any time Azure opens a new region, Cosmos DB clusters have provision by default. Just like compute, storage, Cosmos DB is also one of the Ring 0 services which is the bottommost. Azure Active Directory for example depends on Cosmos DB. So Cosmos DB cannot take a dependency on Active Directory.

“The dependency that we have is our own clusters and machines, on which we put Service Fabric. For deployment of Cosmos DB code itself, we use Service Fabric. For some of the load balancing aspects we use Service Fabric. The partition management, global distribution, replication, is our own. So Cosmos DB is layered on top of Service Fabric, it is a Service Fabric application. But then it takes over. Once the Cosmos DB bits are laid out on the machine then its replication and partition management and distribution pieces take over. So that is the layering.

“Other than that there is no dependency on Azure. And that is why one of the salient aspects of this is that you can take the system and host it easily in places like Azure Stack. The dependencies are very small.

“We don’t use Azure Storage because of that dependency. So we store the data locally and then replicate it. And all of that data is also encrypted at rest.”

So when you say it is not currently in Azure Stack, it’s there underneath, but you haven’t surfaced it?

“It is in a defunct mode. We have to do a lot of work to light it up. When we light up it on such on-prem or private cloud devices, we want to enable this active to active pathway. So you are replicating your data and that is getting synchronized with the cloud and Azure Stack is one of the sockets.”

Microsoft itself is using Cosmos DB. How far back does this go? Azure AD is quite old now. Was it always on Cosmos DB / DocumentDB?

“Over the years Office 365, Xbox, Skype, Bing, and more and more of Azure services, have started moving. Now it has almost become ubiquitous. Because it’s at the bottom of the stack, taking a dependency on it is very easy.

“Azure Active Directory consists of a set of microservices. So they progressively have moved to Cosmos DB. Same situation with Dynamics, and our slew of such applications. Skype is by and large on Cosmos DB now. There are still some fragments of the past.  Xbox and the Microsoft Store and others are running on it.”

Do you think your customers are good at making the right choices over which database technology to use? I do pick up some uncertainty about this.

“We are working on making sure that we provide that clarity. Postgres and MySQL and MariaDB and SQL Server, Azure SQL and elastic pools, managed instances, there is a whole slew of relational offerings. Then we have Cosmos DB and then lots of analytical offerings as well.

“If you are a relational app, and if you are using a relational database, and you are migrating from on-prem to Azure, then we recommend the relational family. It comes with this fundamental scale caveat which is that up to 4TB. Most of those customers are settled because they have designed the app around those sorts of scalability limitations.

“A subset of those customers, and a whole bunch of brand new customers, are willing to re-write the app. They know that that they want to come to cloud for scale. So then we pitch Cosmos DB.

“Then there are customers who want to do massive scale offline analytical processing. So there is, Databricks, Spark, HD Insight, and that set of services.

“We realise there are grey lines between these offerings. We’re tightening up the guidance, it’s valid feedback.”

Any numbers to flesh out the idea that this is a fast-growing service for Microsoft?

“I can tell you that the number of new clusters we provision every week is far more than the total number of clusters we had in the first month. The growth is staggering.”

Cosmos DB or SQL Server? Do you need Kubernetes? VM or App Service? A guide to Azure worth checking out

One of the best features of Microsoft Build, possibly the best, is the exhibition. Microsoft sets up stands for each of its product teams, and the staff there generally include the people who actually build that product, making this a great way to interact with them and get authoritative answers to questions.

I interviewed several executives at Build and asked a couple of times, how can your customers work out which Azure service is the best fit for what they need? It is not a trivial question, now that there are so many different services which overlapping functionality.

It is critically important. You can waste a large amount of money and cause unnecessary frustration by selecting the wrong services.

None of these executives mentioned that Microsoft has a rather good guide for exactly this question. It is called the Azure Architecture Center and I discovered it on the show floor.

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The stand was called Azure Clinic and I told the guy his costume reminded me of Dr GUI. He was too young to remember this MSDN character of old but another guy on the stand overheard and said it brought back bad memories!

You can find the Azure Architecture Center here. It does not make any assumptions about the depth of knowledge you have, which seems right to me since it is aimed at developers who are not sure exactly what they need. There is a ton of useful material, like this decision tree for the compute services (click to enlarge):

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Recommended.

Strong financial results from Microsoft as it aims for breadth of services

Microsoft reported a big quarter (in terms of revenue) for the three months ending December 31st, with revenue of $28,918 million.

What’s notable? Mainly the big jump in Microsoft’s recent success stories: year on year Office 365 up by 41%, Azure up by 98%, Dynamics 365 up by 67%.

Windows is flat/weak as you would expect, and Surface hardware is standing still. Xbox grew a bit following the launch of Xbox One X.

LinkedIn is growing: revenue of $1.3 billion and “sessions growth of over 20%” in the quarter. In the earnings webcast, Microsoft’s Amy Hood said that the LinkedIn acquisition has both performed better, and seems more strategic, now than it did at the time.

Hood also made reference to the company’s ability to up-sell cloud users to higher-margin services. “Office 365 commercial revenue increased 41 percent from installed base growth across all customer segments, and ARPU [Average Revenue per User] expansion from continued customer migration to higher value offers in the E3 and E5 workloads.”

This point is key and is the answer (from the provider’s point of view) to the lower margins implicit in moving from software to services. When Microsoft sells a licence for you to use Windows or Office, the margin is huge because reproducing the software, or providing it for download, costs almost nothing; whereas with a subscription there is significant cost to providing the service. However the subscription has advantages which offset this, in particular the continuing interaction with the customer that both provides data, which the customer as well as the provider can mine (subject to appropriate privacy controls), and gives opportunity for the provider to extend the relationship into new or upgraded services.

CEO Satya Nadella fielded a good question about Microsoft losing out to Sony in gaming and to Alexa and Google Home in voice devices. On gaming, Nadella referred to the PC alongside Xbox as a strategic asset. “PC gaming is a growth market,” he said, as well as software such as Minecraft now on mobile devices, giving the company a broad reach. He also remarked on Azure as a gaming back end.

As for Cortana in the home (or absence from), Nadella said that the focus is on the server-side cognitive services. He also talked about voice input and control of Office 365. The key point though was that Microsoft wants to work both with its own and other voice assistant devices so it can win on services even when competitor devices are in use. “One-turn dialogs on one speaker in one home, that’s just not our vision,” he said.

Nadella made another key point in the webcast, in answer to a question about how Azure Stack (a packaged version of Azure for installation on-premises) will impact Azure. “Computing is becoming more distributed, not less distributed,” he said. IoT and sensors play a large part in this. Everything goes to the cloud but computing on the edge (the new buzzword for local processing) is important for efficiency.

It is easy to see ways in which Microsoft could stumble. The PC will decline as the number of users who need a desktop or laptop computer diminishes. Microsoft’s failure in mobile could prove costly as competitors use synergy with their own applications and cloud services to steer customers away. There are opportunities such as home automation and payments which seem closed to the company now.

Then again, strong results such as these show how the company can succeed by continuing to migrate its business users to cloud services. It remains deeply embedded in business computing.

Here is my chart summarising Microsoft’s performance:   

Quarter ending December 31st 2017 vs quarter ending December 31st 2016, $millions

Segment Revenue Change Operating income Change
Productivity and Business Processes 8953 +1774 3337 +284
Intelligent Cloud 7795 +1037 2832 +541
More Personal Computing 12170 +281 2510 -51

The segments break down as:

Productivity and Business Processes: Office, Office 365, Dynamics 365 and on-premises Dynamics, LinkedIn

Intelligent Cloud: Server products, Azure cloud services

More Personal Computing: Consumer including Windows, Xbox; Bing search; Surface hardware

Which Azure Stack is right for you?

I went in search of Azure Stack at Microsoft’s Ignite event. I found a few  in the Expo. It is now shipping and the Lenovo guy said they had sold a dozen or so already.

Why Azure Stack? Microsoft’s point is that it lets you run exactly the same application on premises or in its public cloud. The other thing is that although you have some maintenance burden – power, cooling, replacing bits if they break – it is pretty minimal; the configuration is done for you.

I talked to one of the vendors about the impact on VMware, which dominates the market for virtualisation in the datacentre. My sense in the VMware vs Hyper-V debate is that VMware still has an edge, particularly in its management tools but Hyper-V is solid (aside from a few issues with Cluster Shared Volumes) and a lot less expensive. Azure Stack is Hyper-V of course; and the point the vendor made was that configuring an equivalent private cloud with VMware would be possible but hugely more expensive, not only in license cost but also in the skill needed to set it all up correctly.

So I think this is a smart move from Microsoft.

Why no Dell? They told me it was damaged in transit. Shame.

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Lenovo

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Cisco

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HP Enterprise

Microsoft Ignite: where next for Microsoft’s cloud? The Facebook of business?

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Microsoft has futuristic domes as part of its Envision event, running alongside Ignite here in Orlando. Ignite is the company’s main technical event of the year, focusing mainly on IT Pros but embracing pretty much the whole spectrum of Microsoft’s products and services (maybe not much Xbox!). With the decline of the PC and retreat from mobile, and a server guy at the helm, the company’s focus has shifted towards cloud and enterprise, making Ignite all the more important.

This year sees around 25-30,000 attendees according to a quick estimate from one of the PRs here; a little bigger than last year’s event in Atlanta.

Microsoft will present itself as an innovative company doing great things in the cloud but the truth is more complex, much though I respect the extent to which the business has been transformed. This is a company with a huge amount of legacy technology, designed for a previous era, and its challenge has been, and still is, how to make that a springboard for moving to a new way of working as opposed to a selling opportunity for cloud-born competitors, primarily Amazon Web Services (AWS) and Google, but also the likes of Salesforce and Dropbox.

If there is one product that has saved Microsoft, it is probably Exchange, always a solid email server and basic collaboration tool. Hosted Exchange is the heart of Office 365 (and BPOS before it), making it an easy sell to numerous businesses already equipped with Office and Outlook. Email servers are horrible things to manage, so hosted has great appeal, and it has driven huge uptake. A side-effect is that it has kept customers using Office and to some extent Windows. A further side-effect is that it has migrated businesses onto Azure Active Directory, the directory behind Exchange Online.

Alongside Office 365, the Azure cloud has matured into a credible competitor to AWS. There are still shortcomings (a few of which you can expect to be addressed by announcements here at Ignite), but it works, providing the company with the opportunity to upsell customers from users of cloud infrastructure to consumers of cloud services, such as Azure IoT, a suite of tools for gathering and analysing data.

The weakness of Microsoft’s cloud efforts has been the moving parts between hosted services and Windows PCs, and legacy pieces that do not work as you would expect.  OneDrive has been a persistent annoyance, with issues over reliable document sync and limitations over things like the number of documents in a folder and the total length of a path. And where are my Exchange Public Folders, or any shared folders, in Outlook for IoS and Android? And why does a PC installation of Office now and again collapse with activation or other issues, so that the only solution is removal and reinstall?

At Ignite we will not hear of such things. Instead, Microsoft will be presenting its vision of AI-informed business collaboration. Think “Facebook of business”, powered by the “Microsoft graph”, the sum of data held on each user and their files and activity, now combined with LinkedIn. The possibilities for better-informed business activity, and systems that know what you need before you ask, are enticing. Open questions are how well it will work, and old issues of privacy and surveillance.

Such things also can only work if businesses do in fact commit more of their data to Microsoft’s cloud. The business case for this is by no means as simple as the company would have us think.