A Microsoft said this Wednesday (30) that it invested almost US$35 billion in artificial intelligence in the first fiscal quarter, exceeding market expectations and minimizing growth in the cloud computing division.
The company’s shares fell 3% after markets closed, with investors concerned about higher-than-expected investment in AI and fears that the market is going through a bubble.
Microsoft’s investment in the quarter totaled US$34.9 billion, compared to Visible Alpha’s estimate of US$30.34 billion.
Microsoft also said on Wednesday that its Azure cloud computing division, its main AI unit, grew 40% in the July-September period, exceeding Visible Alpha’s estimates of around 38.4%.
Total revenue increased 18% to US$77.7 billion, exceeding average market expectations of US$75.33 billion, according to data compiled by LSEG.
