Microsoft Loses $400B After AI Spending Backfires [video] (opens in new tab)

(youtube.com)

5 pointscable26001mo ago3 comments

3 comments

rvz1mo ago

What went wrong?

Memory and Chip prices went up, and Microsoft is building Data Centers. Copilot 365 only has 3% of users using the AI features. Microsoft's biggest AI customer, OpenAI is looking to use other Data Centers. Microsoft's stock took a 10% hit and lost $400B USD. Microsoft's Data Centers have high electricity bills and thus have a 0 ROI. If Microsoft doesn't get customers for its AI Data Centers, they stand to lose more than $400B USD. Investors want to see profits, not broken promises of profits.

JPLeRouzic1mo ago

> "If Microsoft doesn't get customers for its AI Data Centers, they stand to lose more than $400B USD."

So contrary to what the title claims, Microsoft has not actually lost $400 billion; it is simply a prediction?

But have they really invested $400 billion in data centers so far?

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