Customers encouraged to take a multi-model approach to AI as Microsoft's infrastructure CapEx soars 70%
A strong end to its current fiscal year kept Wall Street happy with Microsoft, despite a 70% year-on-year increase in CapEx to fund AI infrastructure expansion.
Total Q4 revenue of $89.5 billion dollars was up 17% year-on-year, while net income rose 24% at $27.2 billion. Revenue from Microsoft Cloud grew 27% to $56.5 billion dollars, within which Azure revenue was up 39%.
It was a strong end to the fiscal year, said CEO Satya Nadella:
All up, our annual revenue surpassed $331 billion, up 18%. Microsoft Cloud surpassed $214 billion, up 27% and Azure surpassed $100 billion, up 41%. Going forward, we have two goals; first, ensuring AI empowers every person, amplifying their agency and ambition; and second, empowering every organization to build their own continuous learning loop and ensuring that they don't outsource their core IP.
CapEx spend
In terms of the CapEx to fund AI infrastructure growth, spend...
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