Microsoft Set to Spend Record $30 Billion This Quarter Amid Booming AI Returns

Microsoft has projected a record $30 billion in capital spending this fiscal quarter, driven by soaring AI-related growth and Azure cloud demand. Azure's annual sales crossed $75 billion for the first time, exceeding expectations and reflecting returns from Microsoft’s AI investments, including its Copilot tools with 100 million monthly users. Capital spending is shifting toward longer-lived assets like data centers to meet AI demand. Despite rising competition, Microsoft’s partnership with OpenAI and investments in in-house AI tech keep it ahead. Overall Q4 revenue hit $76.4 billion. Microsoft is now nearing a $4 trillion valuation, with shares up 20% this year.