Microsoft’s Activision acquisition and bets on AI yield high quarterly revenue

Tech giant now second business in history to reach a stock market valuation of $3tn, overtaking Apple as the world's most valuable

Microsoft beat analyst expectations Tuesday as its heavy bets on artificial intelligence bore fruit, particularly for its Azure cloud computing unit.

The software giant reported revenue of $62bn, up 18% year-over-year, surpassing anticipated earnings of $61.1bn. Its year-over-year net income rose 33% to $21.9bn.