AI isn’t an entity that everyone accepts openly. Microsoft’s CEO, Satya Nadella, has now issued a stern directive for the company in the future, asking employees and shareholders in his annual letter that they must “earn our permission to operate every day, in every country, every community, and every customer interaction.”
“We take neither for granted,” said Nadella, referencing the company’s elevated performance and customer trust. “That’s why we remain grounded in our mission: to empower every person and every organisation on the planet to achieve more,” he added
The letter, which provided context for the company’s strategic outlook by highlighting recent achievements, included a record annual revenue of $281.7 billion, representing a 15 per cent increase in profits. The company’s cloud services, which have been a primary growth source, showed strength, especially with Azure cloud revenue surpassing $75 billion for the first time and marking a 34 per cent growth.
Nadella asks his employees to focus on responsible AI
Nadella outlined three non-negotiable priorities for Microsoft’s strategic roadmap – security, quality, and AI innovation. The company has focused massive investment into security, dedicating 34,000 full-time engineers toward the Secure Future Initiative. This effort aims to strengthen identity protections and embed ‘security-by-design’ principles across all product offerings, ensuring robust defense against evolving cyber threats.
The company’s rapid AI deployment was the main focus, with Microsoft 365 Copilot surpassing 100 million monthly active users, and the developer-focused GitHub Copilot reaching 20 million. Nadella confirmed infrastructure expansion across 70 regions, including the operation of over 400 data centers. He also announced plans for “Fairwater” in Wisconsin, which is touted as the world’s most powerful AI datacenter, capable of delivering ten times the performance of today’s fastest supercomputers. A new “Agent Mode” was introduced across the Copilot suite, designed to enable users to orchestrate complex, multistep tasks via simple natural language prompts.
Beyond technological rollouts, Nadella stressed the moral component of AI development. He announced Microsoft Elevate, a sweeping five-year, $4 billion initiative that combines cash and AI cloud technology for schools and non-profits. This program is designed to equip 20 million people globally with essential AI credentials over the next two years. Nadella committed to responsible AI innovation, stating, “People want technology they can trust,” and promised that the company’s efforts would be guided by the values of respect, integrity, and accountability.
The CEO also urged a long-term perspective on their current mission, asking employees to consider, “What are you working on today that, 15 years from now, you will look back on and say, ‘we got it right’?”
