Microsoft is reportedly using AWS to add computing capacity for GitHub, following capacity issues on the coding platform.

Business Insider reported that Microsoft is turning to Amazon to help address capacity issues at GitHub. The report cited two people familiar with the plans. Amazon is Microsoft’s largest cloud rival.

Microsoft acquired GitHub in 2018 and had planned to move the platform entirely to Azure by 2027.

GitHub turns to multi-cloud capacity

GitHub is used by developers to store code, manage software projects, and collaborate. Before Microsoft acquired the company, GitHub mostly operated its own data centres.

The reported use of AWS follows higher development activity tied to AI coding tools. GitHub Chief Operating Officer Kyle Daigle wrote on X in April that commits were on pace to reach 14 billion in 2026, compared with 1 billion in 2025.

A commit is a recorded code change and a common measure of development activity.

According to Business Insider, Microsoft is adding extra compute capacity through AWS to handle the increase in GitHub activity. A Microsoft spokesperson confirmed that GitHub is using multiple cloud providers but declined to comment on Amazon’s involvement.

“The incredible spike in agentic development that began late last year has tested our infrastructure’s limits,” the spokesperson said. Microsoft said it is accelerating GitHub’s move to Azure while continuing to use a multi-cloud strategy.

An Amazon spokesperson told Business Insider that the company does not comment on individual customers. The spokesperson did not address Microsoft or GitHub directly.

Microsoft and AWS compete in the cloud infrastructure market. Azure and AWS are both used for enterprise cloud workloads.

GitHub has faced service reliability issues this year, with Business Insider reporting dozens of major outages in 2026.

In April, Mitchell Hashimoto, co-founder of HashiCorp, wrote that GitHub was “no longer a place for serious work if it just blocks you out for hours per day, every day.”

GitHub is also competing with AI coding tools, including Cursor and Anthropic’s Claude Code. Business Insider reported that a Microsoft executive discussed the need to overhaul GitHub late last year, according to audio reviewed by the publication.

Azure spending faces legal scrutiny

Microsoft is also facing separate legal scrutiny over Azure growth and AI infrastructure spending.

Reuters reported that Microsoft has been sued by shareholders over its Azure business and AI infrastructure spending. The shareholders accused the company of misleading investors by failing to disclose slowing Azure growth and the cost of building AI infrastructure. The proposed class action was filed in Seattle federal court. It is led by the City of St. Clair Shores Police and Fire Retirement System in Michigan.

The lawsuit followed a drop in Microsoft’s share price after the company reported quarterly results in January. Reuters reported that Microsoft shares fell 10% on January 29, erasing about $357 billion in market value. It was the company’s largest one-day decline in nearly six years.

Microsoft said the claims are “without merit.”

“Microsoft stands by the integrity of its public statements and will vigorously defend itself in court,” the company said.

Lawsuit focuses on growth and spending

In its fiscal second quarter ended in December, Microsoft reported 39% revenue growth in Azure and other cloud services. That matched analyst forecasts but was down from 40% in the previous quarter.

The company projected Azure and other cloud revenue growth of 37% to 38% for the first three months of 2026. It also reported $37.5 billion in capital spending for the quarter. That was up nearly 66% from a year earlier and above the $34.3 billion analysts had expected.

According to Reuters, the lawsuit says Microsoft attributed slower Azure growth and higher spending to capacity constraints. It says resources were directed toward AI research and development and Copilot. Microsoft is also a major investor in OpenAI.

The lawsuit names several Microsoft officials as defendants, including Chief Executive Satya Nadella and Chief Financial Officer Amy Hood. The proposed class period runs from May 1, 2025, to January 28, 2026.

The case remains at an early stage.

(Photo by Simon Ray)

See also: Anthropic explores Microsoft Maia chips for cloud compute

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