A $2 billion gain for Bill Gates comes from Microsoft

There was another record-breaking performance for Microsoft shares as Bill Gates, the founder of the tech company, gained $2 billion in wealth.

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On April 26th, the shares of Microsoft gained a significant amount of value, allowing billionaire Bill Gates to increase his net worth by an additional $2 billion.

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Trade Algo data shows that the founder of Microsoft (MSFT) - Get Free Report is holding 103 million shares in the company or a 1.38% stake, according to the company's website. 

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This year, Microsoft has set a new record for the best one-day percentage gain since 2022, as the company's share price increased by $19.95 to $295.37 on April 26. The previous record, which Microsoft previously held, was when the company's share price increased by 8.2% on Nov. 10, 2022.

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There has been a slowdown in growth in Microsoft's cloud computing division, Azure, despite layoffs at major tech companies, compared to what industry analysts predicted would happen amid layoffs at major tech companies. 

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There have been concerns among Wall Street and investors that software spending in tech companies, including cloud services, is experiencing a massive slowdown as a result of warnings about a mild recession. However, Microsoft has quashed those fears.

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Microsoft's forecast suggested that the slowdown in Azure's growth would not be as severe as first thought, as the company's forecast indicated.

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It was announced on April 25 that Microsoft had reported better-than-expected earnings for its third quarter.

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During the three months ending in March, the tech company reported revenue for Azure had increased by 27% from last year. Despite this, the Street had forecasted the increase to be lower than what was reported.

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During Microsoft's second fiscal quarter, the group's revenue rose by 7.2% to $52.9 billion, exceeding analysts' expectations of $49.36 billion. According to the Street, the Intelligent Cloud generated revenue of $22.08 billion, a 22 percent increase over the same period last year, and ahead of the Street's prediction of $21.26 billion.

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According to Street consensus estimates, Microsoft generated $2.27 in adjusted earnings per share for the quarter, just ahead of an expected $2.22 per share. Net income rose 9% to $18.3 billion, compared to $18.2 billion last year.

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According to the company, its Intelligent Cloud revenue will generate between $23.6 billion and $23.9 billion for the final three months of its fiscal year, which ends in June. This would represent an 8.2% sequential growth rate for the Intelligent Cloud revenue during the first quarter of fiscal year. 

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“A new era in computing is being created by bringing together the world’s most advanced artificial intelligence models and the most universal user interface – natural language,” said Satya Nadella, CEO of Microsoft. The Microsoft Cloud platform will serve as the platform of choice for our customers to leverage their digital spend to the fullest extent possible and innovate for the next generation of artificial intelligence.”

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During the past year, Microsoft reported that their productivity and business division's revenues, which includes Office 365, were largely flat compared to last year's revenues of $17 billion. Meanwhile, their Personal Computing division reported revenues of $13.26 billion, which includes Windows.

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According to Microsoft CFO Amy Hood, "we were able to drive revenue for Microsoft Cloud of $28.5 billion, up 22% (up 25% in constant currency) over the same period last year, with our sales teams and partners executing well in this dynamic environment."

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There is no doubt that Gates is one of the world's wealthiest people, but he does not have the wealth of the billionaires matched with the wealth of Gates. Gates' net worth is currently $122 billion as of April 26, according to the Bloomberg Billionaires Index.

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In February, Microsoft, which is one of the largest investors in OpenAI, announced that it will implement ChatGPT features to its Bing search engine and integrate them with a number of its business services, including automated customer service responses. 

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A chatbot known as ChatGPT was launched in November of last year and has become very popular because it is able to request questions from you in a way that sounds like it is being answered by a human.

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Among the key members of the Giving Pledge are Bill Gates, former CEO of Microsoft, and Warren Buffett, chairman and CEO of Berkshire Hathaway, who committed to donating some of their enormous wealth to charitable causes.

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There are several diseases that have been eradicated through the billionaire's wealth, including polio and malaria, among many other things, thanks to him and his ex-wife, Melinda French Gates.

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A key component of Bill & Melinda Gates Foundation's fight against climate change is the creation and support for environmental research. 

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