The Surge comes after the company announced its investment in AI after it fired thousands of workers earlier this month.
Microsoft is now the second company to surpass $4 trillion in market valuation, following the artificial intelligence giant Nvidia.
Microsoft, trading under ticker’s “MSFT,” continues to surge, up 4.6% since the market opened as of midday (16:00 GMT) in New York City on Thursday.
The technology giant said it would spend $30 billion on capital expenditures this year to meet the rising demand for AI (AI). Microsoft also reported on Wednesday that it was booming in its Azure Cloud Computing business.
Gerrit Smit, Stonehage Portfolio Manager, said:
Headquartered in Redmond, Washington, Microsoft first fell below the $1 trillion mark in April 2019.
The move to $3 trillion is measured more than the moves of Technology Giants Nvidia and Apple, with AI-Bellwether Nvidia tripling its value in about a year, winning a $4 trillion milestone ahead of other companies on July 9th.
The revenues were $76.4 billion in revenues.
“Slam Dunk”
“This was a slam dunk quarter for MSFT (Microsoft), and the cloud and AI have driven major business transformation across all sectors and industries as the company continues to leverage the forefront and center of the AI revolution.”
Microsoft’s multi-billion dollar bet on Openai has proven to be a game-changer, bringing Office Suite and Azure Offerings with cutting-edge AI, and has more than doubled its value since ChatGpt’s late 2022 debut.
The largest ever capital expenditure forecast in a quarter could surpass its rivals over the next year.
“We are pleased to announce that Amy Hood, executive vice president and chief financial officer at Microsoft, said in a statement:
However, Microsoft’s surge in market value is hidden by a wave of layoffs in the tech giant. Earlier this month, the company fired 9,000 people, making up 4% of the global workforce and doubled its AI.
Recently, ahead of the August 1 tariff deadline for US President Donald Trump, a breakthrough in trade talks between the US and its trading partners pushed the S&P 500 and NASDAQ to hit highs.
The metaplatform also doubles AI’s ambitions, forecasting third quarter revenues estimated beyond Wall Street, and estimates that artificial intelligence has surpassed its core advertising business.
The social media giant increased its lower end of annual capital expenditure by $2 billion just days after the Alphabet made a similar move.
