Microsoft Declares War on Twilio With a New Cloud Service

Microsoft (NASDAQ: MSFT) recently launched Azure Communication Services, an extension of Azure's cloud platform which enables developers to add video, voice calls, chat, and text messages to websites, applications, and mobile platforms.

Instead of building those features from scratch, developers can simply add a few lines of code from Microsoft's API (application programming interface) and outsource the feature to Azure. That approach is generally less buggy, less time-consuming, and easier to scale than internally developed communication tools.

Microsoft's strategy likely sounds familiar, since Twilio (NYSE: TWLO) provides similar cloud-based communication tools for developers. Let's see why Microsoft is expanding Azure into Twilio's backyard, and what that fresh competition could mean for the high-growth underdog.

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Source Fool.com