Microsoft’s Profit Jumps 32% Despite Big Increase in Spending
Summary
The company’s free cash flow stayed positive in the last quarter even as it spent $45.2 billion on capital expenses like data centers and offered to pay workers to leave. Only one of the four AI hyperscalers reported positive free cash flow in this round of earnings. Covered by 5 outlets: 2 lean left, 3 are centre.
Automated summary picked from the outlets' own descriptions.
Who is covering this
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AI hyperscalers are expected to finish the year spending a whopping $828 billion on capex
Amazon, Alphabet, Meta, Microsoft, and SpaceX each reported increased capex for Q3, with no signs of slowing down for 2027 amid the AI buildout.
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Microsoft plans to raise $25 billion in debt as it pursues AI buildout
Microsoft boasts a strong credit rating and has managed to maintain positive free cash flow, unlike Meta, Alphabet and Amazon.
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Amazon’s $42.4 Billion Cash Burn Delivers Final Blow In a Rough Week For AI
Only one of the four AI hyperscalers reported positive free cash flow in this round of earnings.
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Microsoft’s Profit Jumps 32% Despite Big Increase in Spending
The company’s free cash flow stayed positive in the last quarter even as it spent $45.2 billion on capital expenses like data centers and offered to pay workers to leave.
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