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Microsoft surprises analysts with massive $80B AI investment plans for 2025


Rivals won't want to lag behind or spend too much on this unproven business.

Microsoft is set to invest $80 billion in fiscal 2025 to expand its AI datacenter capabilities, Brad Smith, the company's president and vice chairman wrote in a blog post. While analysts certainly were aware of the software giant's AI ambitions, few if any expected the company to bet that much money on a technology that has yet to prove its profitability. "Today, the United States leads the global AI race thanks to the investment of private capital and innovations by American companies of all sizes, from dynamic start-ups to well-established enterprises," wrote Brad Smith.

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