Last week, Microsoft released its financial results for Q2 FY25, reporting a 12% growth in revenue, which translates to approximately $69.6 billion. The Redmond giant's Commercial Cloud segment revenue, including cloud services sales, saw a 21% growth in revenue, translating to $40 billion. Its intelligent cloud business saw $25.5 billion in revenue.
Microsoft leverages its cloud services to power its AI efforts. However, investors are seemingly concerned about the company's exorbitant spending on AI, especially with the emergence of DeepSeek's ultra-cost-effective AI model, which was developed at a fraction of the cost of proprietary models like ChatGPT and Copilot.
