The days after the low -cost AI computing of the Chinese startup startup startup, the US technology industry, Microsoft’s CEOs, and the goal defended major expenses saying it was crucial to remain competitive in the new field.
DeepSeek’s Quick advances with models that said they can correspond or even overcome western rivals by a fraction of cost caused doubts about the leader, but major executives said that building huge computer networks was needed to meet growing corporate needs.
“Investing a lot in capital spending and infrastructure will be a strategic advantage over time.” Goal CEO Mark Zuckerberg said in a post -reans call.
Microsoft CEO Satya Nadella said spending would facilitate the capacity restrictions that made the giant’s ability to capitalize There.
“As Ia becomes more efficient and accessible, we will see exponentially more demand,” he said in a connection with analysts.
Microsoft highlighted US $ 80 billion (approximately RS. 6.93,031 crore) for AI in its current fiscal year, while the target promised up to $ 65 billion (about Rs. 5.63.085 Crore).
This is far from about $ 6 million (about lol. 5.63,085 crore) DeepSeek said he spent to develop his AI model. US executives and Wall Street analysts said this is the amount spent on computer power rather than all development costs.
Still, some investors seem to be losing patience with heavy spending and lack of great rewards.
Microsoft’s actions – widely seen as a pioneer in the AI race because of his ties with the industry leader Open – Six percent fell in early negotiations on Thursday, after the company said the growth in its cloud business of Azure would lose estimates from the third quarter.
“We really want to start seeing a clear script for the appearance of this model of monetization for all the capital that has been invested,” said Brian Mulberry, portfolio manager of Zacks Investment Management, which holds Microsoft actions.
Meanwhile, the goal, sent mixed signs about how its bets on the AI tools were worth it with a strong quarter quarter, but a dull sales forecast for the first quarter. His actions climbed more than four percent on Thursday.
“With these big expenses, they need to activate the tap in terms of generated revenue, but this week was a warning to the US,” said Futurum Group analyst Daniel Newman.
“For AI now, there is a lot of capital expense, enough consumption.”
There are some signs that executives intend to maintain a verification of expenses.
Microsoft’s CFO, Amy Hood, said capital spending in the third and fourth quarters would remain around $ 22.6 billion (approximately RS. 1.95,769 crore), a level observed in the second quarter.
“In the 2026 fiscal year, we hope to continue investing against strong signs of demand. However, the growth rate will be lower than the 2025 inspector (which ends in June),” she said.
© Thomson Reuters 2025
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