When Microsoft reported excellent earnings in the fourth quarter of its fiscal 2026 year (which ended June 30), it included an interesting little tidbit about how its investments in the two largest and competing AI labs are faring. For the quarter, it recorded its investment in Anthropic as a gain of $3.2 billion, increasing diluted
Meta’s AI strategy once again worries investors. Shares of the social media giant fell 10% on Wednesday after revealing that its capital spending growth far outpaced revenue growth. Meta has a central problem: much of this spending still has no financial return. About 98% of Meta’s revenue still comes from its traditional advertising business, according
Microsoft is in a unique position as AI overtakes the tech industry. It is one of the world’s largest cloud providers and software-as-a-service companies, while also owning valuable stakes in the two largest artificial intelligence labs, OpenAI and Anthropic. Those incentives are starting to collide as Microsoft releases blockbuster financial results. The company just reported
Microsoft kept its capital spending forecast unchanged on Wednesday, becoming one of the first data center giants to maintain control of the industry’s rampant AI spending. Shares rose about 8% on the news. Earlier this year, the company said it planned to spend $190 billion on capital expenditures this calendar year. On Wednesday’s earnings call,
Meta founder and CEO Mark Zuckerberg is trying to convince investors of his prediction for the future, in which billions of people will have their own personal AI agents within the next five years. (Let’s hope the future also comes with data centers efficient enough to power all those agents, without triggering a new wave
Many Americans are very concerned about AI. Can Mark Zuckerberg change his mind? That’s what Meta’s CEO is trying to do, through a persuasion campaign: Last week, the company released an ad, set to a David Bowie song, telling viewers to ignore “some people” who don’t like AI. Zuckerberg followed up a Wall Street Journal
