Summary
A friend of mine, who also happens to be a CTO, spent last quarter explaining to his board why they need seventeen different software vendors to run their business. "Every solution creates two new integration problems," he told me over coffee. "Half my budget goes to making things talk to each other."
He's not alone. After watching hundreds of enterprise technology decisions over the past decade, I've noticed the market splitting into two camps: companies doubling down on Microsoft's integrated platform, and others opting for best-of-breed strategies despite the integration headaches.
Both approaches are working. The question is which one fits your organisation.
Choosing a platform isn’t about features—it’s about what trade-offs your organisation is willing to make.
The Cloud Infrastructure Picture
Azure continues to grow at twice the rate of AWS, but the reasons behind this growth are more interesting than the numbers themselves.
I watched a manufacturing company migrate to AWS last year. Eight months of custom integration work to connect their Microsoft infrastructure. When they evaluated Azure for comparison, the same migration took six weeks because everything plugged in natively.
Azure’s growth is driven not just by price or performance, but by seamless Microsoft-native integration.
Some companies prefer that complexity. A fintech startup we assisted on cloud cost reduction deliberately chose AWS because they didn't want vendor lock-in with Microsoft. "We'd rather manage the integration ourselves than be trapped in one ecosystem," their CTO explained.
AWS still wins with development-heavy organisations. Their technical capabilities remain impressive, and companies with strong engineering teams often prefer the granular control. Microsoft's approach works better for businesses that want finished solutions rather than building blocks.
The AI angle gets overhyped. Yes, Microsoft's OpenAI partnership provides advantages today. But AWS is building relationships with Anthropic and developing its own capabilities. Google's AI is genuinely impressive. This advantage won't last forever.
VMware's mess under Broadcom creates opportunities for everyone. Azure VMware Solution gets good reviews, but AWS is responding with better pricing and improved migration tools. The real winner might be whoever handles the transition most smoothly.
Enterprise Software Gets Complicated
ServiceNow is the story nobody talks about enough. While everyone debates Microsoft versus Salesforce, ServiceNow continues to win deals and expand into new markets. Their execution has been remarkable.
ServiceNow quietly wins enterprise deals while others dominate headlines.
I know three companies that switched from Microsoft solutions to ServiceNow for IT service management. Not because Microsoft's tools were bad, but because ServiceNow's platform delivered better outcomes for their specific needs.
Salesforce faces real pressure but isn't going anywhere. They still dominate the CRM market, and their customer relationships run deep. When they need to win deals, they discount aggressively. The long-term pricing might hurt, but it keeps customers from switching.
Microsoft's integration advantages are real but not universal. A nonprofit we worked with recently standardised on Google after running both Microsoft and Google tools. Cost drove the decision, not technology. Sometimes, economics trumps integration benefits.
Oracle deserves mention here. Five years ago, they were the vendor everyone loved to hate. Now they're acting like a startup, making deals and showing flexibility. Their database expertise still matters for certain applications, and OCI is gaining traction.
Security Reality Check
Microsoft's integrated security approach has genuine benefits. When a healthcare company got hit with ransomware, its Microsoft security stack handled the entire incident response automatically. No coordinating between multiple vendors, no manual policy updates.
But security professionals have mixed feelings. The integration is convenient, but some prefer specialised tools that might provide better protection for specific threats. It depends on the sophistication of your security team and your risk tolerance.
Integrated security is powerful—but only when your team knows how to use it.
Most large organisations end up with hybrid approaches: Microsoft's platform for baseline security, specialised tools for advanced threats. The integration benefits matter most when your security team is stretched thin.
What Smart Companies Actually Do
The most successful implementations I've seen lately share a pattern: they match their vendor strategy to their organisational capabilities.
The smartest companies align their tech stack with their internal capabilities—not vendor hype.
A retail company transformed their customer service using Teams, SharePoint, Power Platform, and Dynamics 365. Everything worked together seamlessly. Customer inquiries were routed automatically, support agents had complete context, and metrics were updated in real-time. It worked because they treated Microsoft as a platform, not separate products.
However, another (tech) company built an impressive customer support system using Slack, Salesforce, AWS, and various specialised tools. More complex to implement and maintain, but they had the technical team to make it work. The result was more flexible and powerful than any single-vendor solution.
The difference between these two examples lies in their technical capabilities and strategic priorities. The retail company wanted simplicity and fast implementation. The tech company prioritised flexibility and was willing to invest in integration complexity.
Economic Pressure Changes Everything
Budget constraints affect everyone differently. Microsoft benefits from vendor consolidation trends - CFOs prefer fewer vendor relationships and consolidated spending. But they also face price pressure when customers have limited budgets.
Implementation costs matter more now. Microsoft's integration advantages reduce deployment complexity, but skilled Microsoft professionals are expensive. Some organisations find better value with simpler solutions that don't require specialised expertise.
Risk tolerance varies enormously. Conservative organisations gravitate toward Microsoft's comprehensive platform and proven support. More aggressive companies pursue best-of-breed strategies despite the integration challenges they present.
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The Competitive Reality
Nobody's standing still. AWS continues to grow in the high teens, with particular strength among technology companies. Their innovation pace remains impressive, and they're addressing enterprise concerns about sales support and solution packaging.
Oracle's transformation has been remarkable. Their willingness to deploy on AWS and Azure, combined with competitive pricing, generates positive customer feedback. They're not the same company they were five years ago.
Google struggles with sales execution despite technical excellence. But their AI capabilities create real opportunities in specific markets. Don't count them out entirely.
ServiceNow's momentum continues across the enterprise service management landscape. They demonstrate that focused innovation can compete successfully against comprehensive platforms.
Platform Versus Flexibility
Microsoft's platform approach solves real problems. Data flows naturally between applications. AI works consistently across tools. Security policies apply comprehensively. User training decreases.
But platform dependence creates constraints. Switching costs increase over time. Innovation in specific areas may lag behind that of specialised vendors. Pricing negotiations become more complex with bundled products.
Platform lock-in becomes a problem only when your strategy changes—but by then, switching is expensive.
The trade-off is fundamental: operational simplicity versus technical flexibility. Neither approach is inherently superior - it depends on your organisation's priorities and capabilities.
Where This Goes
Microsoft's integration advantages are valuable for many organisations, but not universally compelling. Companies with strong technical teams often prefer best-of-breed approaches, despite the added complexity. Cost-conscious organisations might accept integration challenges for better pricing.
AI will increasingly influence these decisions. Microsoft's current advantage through the OpenAI partnership provides real value, but competitors are building compelling alternatives. The landscape remains fluid.
The market is bifurcating. Organisations that prioritise operational simplicity increasingly choose comprehensive platforms, such as Microsoft's. Those who value technical flexibility continue pursuing best-of-breed strategies.
Both approaches work. The key is an honest assessment of your organisation's technical capabilities, strategic priorities, and risk tolerance. Don't assume one size fits all.
Microsoft has built impressive platform capabilities that deliver genuine business value. But the enterprise technology market remains competitive, with multiple viable strategies depending on specific requirements and priorities.
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Choose based on what works for your organisation, not what sounds good in presentations.