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Microsoft reports strong quarterly earnings Microsoft beat market expectations on Tuesday with strong quarterly results in cloud computing software and programs. Microsoft still benefits from the online shifting of work and play as well as the ability to shop and learn.email The US tech colossus has announced a blockbuster deal to buy gaming giant Activision Blizzard, said profit jumped to $18.8 billion in the final three months of the previous year. CEO Satya Nadella stated that digital technology was the most flexible tool available to overcome limitations and reinvent everyday life and work and announcing a revenue of $51.7 million. Microsoft investments include investing in the lucrative videogame market and, by extension the metaverse. This is the virtual real-world vision for the future of the internet. On an earnings call, Nadella pointed to the millions of players playing games like Forza, Halo and Minecraft and many of them investing in "avatar" proxy services for online worlds. He said that the metaverse is a natural extension. According to executives, Microsoft is also integrating virtual gathering components with nongame products like Teams online collaboration software. "We feel very well positioned to be able to take advantage of what I believe is the next technology of the internet," Nadella said on the conference call. The Redmond Washington-based tech company last week announced a landmark deal to purchase scandal-plagued "Call of Duty" maker Activision for $69 billion. This would be the largest purchase ever made by Microsoft and is far ahead of LinkedIn in 2016 for $26.2 billion. According to the earnings report, revenue on the career-focused social networking site increased by 37% compared to the same quarter last year. Microsoft announced that Microsoft will be the third largest gaming company in terms of revenue after buying Activision which is a troubled but highly successful business following Tencent and Sony. At a time where both the United States and Europe are trying to curb Big Tech, the proposed merger will require regulatory approval. According to the earnings report, the revenue of the Microsoft division that produces Xbox consoles as well as video game content increased 10 percent in the most recent quarter. - 'PC renaissance' - "Redmond continues to show improvement in the cloud as more companies continue to shift to the cloud with Nadella & Co," Wedbush analyst Dan Ives said in a note to investors. Ives said he saw the impressive earnings from Microsoft as a "broader sign of the growth we anticipate to be seen across the enterprise cloud software landscape during the earnings season." Microsoft competes with Amazon and Google in the cloud computing market. Cloud services units at Microsoft each saw double-digit growth in revenue, which brought in millions of dollars according to the earnings report. Microsoft's division dedicated to the Windows operating system also thrived on what Nadella referred to as a "renaissance" of the personal computer (PC) market, which was waning prior to the pandemic forced a lot of people from all over the world to stay at home. "More than ever people are turning to computers to exercise their freedom, and unleash their creativity," Nadella said. "We are experiencing a revival of the PC with increases in the time we spend on computers and PCs per household." Microsoft stock climbed slightly following the earnings call. According to Wedbush, some of the most bullish investors expected better financial results. "In this jittery market we'll see every tech print initially as glass half empty, but ultimately this remains a core cloud name," Ives said. Scott Kessler, vice president of Third Bridge, was one of the analysts who wanted find out how stopping the epidemic would affect Microsoft's growth, which is driven by remote work and play. Kessler wrote in an email that "we've seen a number of darlings from the early Covid period become fallen angels." Nadella believed that digital technology would remain a valuable resource as people "reimagine" their lives and society searches for solutions to problems like the shortage of labor. "We are experiencing an evolution of our society and economy," Nadella said.