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Microsoft Loses $400B After AI Spending Backfires [video]

5 points| cable2600 | 21 days ago |youtube.com

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rvz|21 days ago

What went wrong?

cable2600|21 days ago

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.