Microsoft plans to expand its data center capacity to 10GW by fiscal year 2026, which is expected to accelerate cloud revenue growth by 12.4% to 21.3%, supported by the Anthropic Azure AI Foundry partnership. However, the company's aggressive capital expenditure, projected to reach $190 billion by the end of 2026, carries a negative return on investment of -9.3%, indicating potential overpayment for growth. Additionally, increased depreciation and amortization costs from AI infrastructure investments may reduce EBIT margins by 500 basis points in the coming years. Despite a slight valuation discount, technical analysis suggests possible stock downside ahead.
SoftBank Group's shares dropped over 11%, leading a widespread selloff in Asian technology stocks due to concerns about rising costs for AI infrastructure. The decline followed a fourth consecutive drop in the Nasdaq Composite, with Apple and Microso...
The New York Times amended its 2023 lawsuit against OpenAI and Microsoft, modifying a claim against Microsoft and dropping one against OpenAI. The lawsuit accuses the companies of copyright infringement for using Times articles to train AI models lik...
Microsoft's stock has fallen more than 21% in June, marking its worst monthly performance since the year 2000. This decline reflects a broader market trend moving away from major tech giants known as the "Magnificent Seven." Investors are reacting ne...
Ben Reitzes of Melius Research recommends investors buy chip stocks such as Nvidia, Broadcom, Micron, AMD, and Dell, citing a long-term trend favoring compute power over cloud giants like Microsoft, Oracle, and Google. He argues that while AI demand ...
Microsoft announced a global price increase for Xbox consoles starting August 1, with 512GB models rising by $100 and 1TB models by $150. The Xbox Series S 512GB will go from $399 to $499, and the Series X 1TB Disc from $649 to $800. The company attr...
