Microsoft Plans Record $30 Billion Spending Amid AI Growth

August 01, 2025
Microsoft is set to spend a record $30 billion this quarter, driven by strong AI and cloud performance, according to Reuters.

Microsoft Corporation is set to spend a record $30 billion in capital expenditures for the current fiscal first quarter, driven by robust sales in its Azure cloud computing business. This announcement comes as the company reports that Azure sales have surpassed $75 billion annually, exceeding expectations of $74.62 billion, according to Reuters.

The company's shares rose 9% in extended trading following the announcement. Microsoft's capital expenditure forecast, its largest ever for a single quarter, positions it to potentially outspend its competitors over the next year. This move follows similar announcements from Google and Meta, who are also increasing their investments in AI services and infrastructure.

Microsoft's increased spending is aimed at overcoming supply constraints and meeting the growing demand for AI services. The company has also disclosed that its Copilot AI tools have reached over 100 million monthly active users, marking a significant milestone in its AI initiatives.

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