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Microsoft’s research and development expenditure amounted to around **** billion U.S. dollars in its 2025 fiscal year, a record high. Microsoft ranks second among software and computer service companies worldwide in terms of R&D spending, behind only Google’s parent company Alphabet. 

Microsoft Corporation

One of the most successful tech companies worldwide, Microsoft, together with its most renowned product, the Windows operating system, has long been a household name. The company's success is reflected in its record spending for research and development, owing to its significant sales growth over the years. 

Microsoft's diverse businesses

Some of Microsoft’s major business ventures include the above-mentioned Windows operating system, software packages such as Microsoft Office, various lines of consumer electronics, as well as cloud computing offerings. Microsoft’s productivity and business processes segment, which includes products such as Office 365 and LinkedIn, brought in around *** billion U.S. dollars in the 2025 fiscal year.