US EditionMicrosoft Drops AI Sales Targets in Half After Salespeople Miss Their Quotas
Microsoft adjusted its AI growth targets after slower adoption of AI tools, impacting multiple divisions including Azure and contributing to a nearly 3% drop in its stock.
- On Wednesday, The Information reported Microsoft lowered sales growth targets for its AI agent products after missed goals in the fiscal year ending in June, affecting multiple divisions including the Azure cloud unit.
- Microsoft had made agentic features a core 2025 sales pitch and in July lowered targets to roughly 25 percent growth, while a US Azure sales unit set Foundry quotas at 50 percent growth with less than a fifth meeting them.
- Market reaction was swift, sending the Nasdaq 100 from a 0.5% gain to a 0.5% decline as Microsoft shares slid nearly 3%, crypto prices fell, and Bitcoin dipped to $91,800.
- The Information initially said Microsoft cut AI sales quotas, but Microsoft denied it did not `lower sales quotas` in an email to CNBC, and the outlet updated its headline and added Microsoft's comment on Dec 3.
- Microsoft's agentic pitch faced tougher-than-expected customer adoption as AI agents designed to automate dashboards and reports proved harder to deliver this year, while OpenAI earlier this year also trimmed agent revenue projections over the next five years.
11 Articles
11 Articles
Ars Technica
Microsoft drops AI sales targets in half after salespeople miss their quotas
Microsoft has lowered sales growth targets for its AI agent products after many salespeople missed their quotas in the fiscal year ending in June, according to a report Wednesday from The Information. The adjustment is reportedly unusual for Microsoft, and it comes after the company missed a number of ambitious sales goals for its AI offerings. AI agents are specialized implementations of AI language models designed to perform multistep tasks au…
Microsoft halves AI sales targets amid sluggish enterprise demand
Microsoft has significantly reduced its AI sales growth targets by 50% as salespeople struggle to meet quotas. Despite earlier ambitions to lead in AI agents, enterprise customers are hesitant to adopt these unproven technologies. This shift reflects growing challenges in convincing businesses to invest in AI solutions amidst uncertainty. The post Microsoft halves AI sales targets amid sluggish enterprise demand appeared first on nextbigwhat.
Okay, the user asked me to summarize this article in Chinese, keeping it under 100 words, and without starting with something like "Article Summary." Just a description will do. Let me read the article carefully first. The article mainly discusses the difficulties Microsoft encountered in selling its AI products. They had to lower their sales targets by as much as 50%. In particular, the growth target for the Foundry platform was reduced from d…
Microsoft Eases AI Sales Target as Sluggish Enterprise Adoption Exposes Gaps in the Industry’s Breakneck Expansion
Microsoft’s decision to scale back sales quotas for its Foundry AI platform has become an early sign of friction inside a global AI market that is racing ahead technologically but still struggling to secure the kind of broad enterprise adoption that investors and developers have been betting on. The move, which contributed to a more […] The post Microsoft Eases AI Sales Target as Sluggish Enterprise Adoption Exposes Gaps in the Industry’s Breakn…
Coverage Details
Bias Distribution
- 100% of the sources are Center
Factuality
To view factuality data please Upgrade to Premium
