166 Million Monthly Active Users of Office 365

by | Feb 1, 2019 | Office 365 news, PACE approach

Microsoft released its quarter two earnings yesterday. Lots of numbers are trending upwards – Office 365 revenue in the commercial sector, Dynamics 365 revenue, Surface revenue – and more. What’s interesting is that there was no official pronouncement on the latest number of monthly active users of Office 365 commercial, a growth point that I find interesting to track. So I had to revert to some Excel magic to figure it out myself; by my calculations, Microsoft now has 166 million monthly active users of Office 365 commercial, up from 155 million three months ago (this was the last official Microsoft number that’s been supplied).

166 Million Monthly Active Users

Click for the more readable version

Here’s how I got to that point:

1. Mapped out the quarter-by-quarter numbers that Microsoft has disclosed over the past couple of years. 

2. Used Microsoft’s year-on-year percentage growth rate to divide growth across the quarters. On the Earnings Release FY19 Q2 metrics sheet, Microsoft said that this was 29% for the year ended July 2018. Have a look at my spreadsheet above, and you’ll see 29% in a blue coloured cell down from Jul-18. And below that is 28.6%, which is my calculation for the quarter-by-quarter growth rates for the four quarters that make up the 2018 financial year. 

3. Used the other growth rates that Microsoft had in its Earnings Release – 29% for Q119, and 27% for Q219. These are also in the spreadsheet above, and once you guesstimate the quarter-by-quarter growth rates that make up those two rolling averages, then you get … 166 million monthly active users at the end of Q2 2019.

Okay, So What?

Okay, so what? First, that’s a whole lot of people and organisations who have new technology available to them. As I wrote yesterday, there’s a digital transformation underway as organisations move to embrace new cloud-powered services. But secondly and more importantly, that’s a whole lot of people and organisations who have an opportunity to leverage the great tools that Microsoft offers to work better together, improve business outcomes, and deliver more value to their customers.

Check out our PACE Whitepaper for the approach we take in equipping, empowering and enabling people and organisations to take this much more significant journey from “having the tools available” to “getting value from the tools in day-to-day life.”

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