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.
What went wrong?
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.
> "If Microsoft doesn't get customers for its AI Data Centers, they stand to lose more than $400B USD."
So contrary to what the title claims, Microsoft has not actually lost $400 billion; it is simply a prediction?
But have they really invested $400 billion in data centers so far?