Lates News

After the American tech giant Microsoft (MSFT.O) announced a sharp increase in data center spending, its market value plummeted by $360 billion, once again raising concerns about Silicon Valley's massive investment in artificial intelligence infrastructure. Microsoft's stock price fell 10% on Thursday, marking its worst day since the peak of the 2020 coronavirus pandemic, with its market value dropping to $3.2 trillion. Previously, Microsoft announced a 66% year-on-year increase in data center spending, with capital expenditures reaching $37.5 billion in the three months ending in December. The growth rate of Microsoft's cloud business was also lower than expected. Venu Krishnna, Head of US Stock Strategy at Barclays, said, "The scale of spending is so large that people are very concerned about how these expenditures will profitability."