Microsoft’s inventory value has risen a lot at this time that it has handed a $4 trillion market valuation for the primary time in its 50-year historical past. The software program maker is the second firm to be valued at $4 trillion, after Nvidia reached a market cap of over $4 trillion earlier this month.
Microsoft has reached this milestone due to better-than-expected earnings, and the corporate reporting its Azure income for the primary time. Microsoft revealed final evening that its Azure cloud computing enterprise had generated greater than $75 billion throughout its 2025 fiscal yr, and the corporate’s inventory value instantly began hovering in after-hours buying and selling on the Nasdaq. Microsoft’s share value is up round 4 % at this time, serving to it keep its $4 trillion market valuation.
Microsoft has spent greater than a decade build up its Azure cloud enterprise, which is forward of Google’s in income however nonetheless second place to Amazon Internet Providers. Azure now touches each nook of Microsoft’s companies, together with powering its AI initiatives, its Workplace software program, elements of Home windows, Xbox, and extra.
Microsoft’s funding in cloud computing has positioned it properly to reap the benefits of the computing wants for the way forward for AI, too. Earlier this yr there have been loads of questions over the $100 billion funding into The Stargate Project, and Microsoft CEO Satya Nadella was fast to defend the corporate’s personal $80 billion spend on cloud and AI information middle initiatives. “All I do know is, I’m good for my $80 billion,” said Nadella at the time.
Microsoft CFO Amy Hood revealed yesterday that Microsoft is now planning to spend $30 billion on its AI infrastructure investments within the subsequent quarter. If Microsoft retains up that degree of spending then the corporate will complete $120 billion or extra on cloud and AI infrastructure over the subsequent fiscal yr.