📰 Microsoft to Invest $80 Billion in AI Data Centers in 2025
Over half of the spending will be focused in the U.S. to strenghten AI leadership.
Microsoft MSFT 0.00%↑ plans to invest $80 billion in fiscal 2025 to build advanced AI-enabled data centers, according to a blog post by Vice Chair and President Brad Smith. Over 50% of this investment will occur in the United States, reflecting the company’s commitment to maintaining the nation's leadership in artificial intelligence innovation.
"Today, the United States leads the global AI race thanks to private investment and groundbreaking work by companies of all sizes," Smith said. He highlighted Microsoft’s collaborations with OpenAI and others, as well as the integration of AI into its own platforms like Azure and Teams.
The investment comes as demand for AI capabilities continues to surge. Microsoft has already committed more than $13 billion to OpenAI and reported a 33% year-over-year increase in Azure revenue in fiscal Q1 2025, with AI services accounting for 12 percentage points of that growth.
Smith also pointed to growing global competition, particularly from China, which is actively promoting its AI technologies and infrastructure abroad. He urged swift U.S. action to sustain its leadership in AI, advocating for policies that promote education and technological innovation.
This significant capital allocation underscores Microsoft’s focus on scaling AI infrastructure to meet rising demand and drive innovation across industries.
Source: Reuters, CNBC
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