Microsoft closed fiscal 2026 with Azure surpassing $100 billion in revenue and Microsoft 365 Copilot exceeding 30 million paid seats, signaling strong AI monetization through software contracts and consumption. NVIDIA posted $81.6 billion in revenue, up 85% year over year, driven by hardware sales and high margins, especially in data center networking. Despite NVIDIA's impressive growth and profitability, Microsoft's larger contracted revenue base and ongoing AI monetization efforts make it a more credible candidate to double its market value from $3.6 trillion, compared to NVIDIA's $5.27 trillion valuation which requires sustained parabolic growth. Microsoft’s heavy capital expenditure is building a long-term asset base for Azure and Copilot, while NVIDIA faces risks from supply commitments and market cyclicality. Investors seeking a safer double may prefer Microsoft, while those accepting higher variance might lean toward NVIDIA.
The AI infrastructure boom is evolving as access to electricity, data-center capacity, and financing become as critical as computing power. Nebius Group aims to reach over $41 billion in annual recurring revenue by 2030, driven by a target of 5 gigaw...
SpaceX's decision to build its AI infrastructure on NVIDIA's Vera Rubin platform, claiming 20% of NVIDIA's next-gen capacity, signals NVIDIA's advantage in allocation control rather than AMD's decline. Despite losing SpaceX, AMD reported strong Q2 re...
Microsoft increased its quarterly dividend to $0.91 per share, reflecting steady returns for shareholders. However, the company also reported a massive 79.6% jump in capital expenditures to $115.9 billion for fiscal 2026, driven by investments in clo...
Venture investor Chamath Palihapitiya claimed that the largest companies' earnings growth has "literally zero" connection to AI, contrasting sharply with Nvidia and Microsoft's recent financial results. Nvidia's stock has surged 945% over five years,...
The AI public-company market shows shifting valuations with Meta losing ground in market cap compared to rivals like Anthropic, which is valued near $2 trillion. OpenAI, preparing for an IPO, targets a $1 trillion valuation but faces slower revenue g...
