Microsoft reported better-than-expected earnings for the latest quarter, driven by strong demand for its cloud services and productivity software. The company’s revenue grew 7% year-over-year to $52.9 billion, exceeding analysts’ estimates. Microsoft’s Intelligent Cloud segment, which includes Azure cloud services, saw a 16% increase in revenue. The company plans to significantly increase its capital expenditures in 2024, with a focus on investing in artificial intelligence (AI) and cloud infrastructure. Microsoft is betting big on AI, with plans to integrate it across its product lineup, including Office, Windows, and cloud services. The company is also exploring generative AI models like ChatGPT for various applications. Microsoft’s CEO Satya Nadella emphasized the company’s commitment to being a leader in the AI revolution, stating that “the age of AI is upon us.” The company’s strong financial performance and strategic investments in AI position it well for continued growth in the rapidly evolving technology landscape.
Source: https://www.businessinsider.com/microsoft-beats-estimates-ramps-up-capex-on-ai-2024-10