Microsoft to spend record $30 billion this quarter as AI investments pay off

Microsoft forecast on Wednesday a record $30 billion in capital spending for the current fiscal first quarter, after booming sales in its Azure cloud computing business showcased the growing returns on its massive bets on artificial intelligence.

Shares of the software company rose 9% in extended trading after it said Azure sales surpassed $75 billion on an annual basis, the first time it has disclosed that figure, beating expectations for $74.62 billion. Microsoft’s higher-than-expected capital expenditure forecast – its largest ever for a single quarter – put it on track to potentially outspend its rivals over the next year.