Microsoft is set to invest a remarkable $80 billion in artificial intelligence (AI) during the 2025 fiscal year, according to company president Brad Smith.
This massive investment is part of a broader trend within the tech industry, as major players like Amazon, Google, and OpenAI are also committing significant funds to the fast-evolving AI space.
In an online post, Smith referred to AI as “the electricity of our age” and highlighted its transformative potential across various sectors. He stressed the importance of the United States maintaining its leadership position in this technological revolution.
Smith urged the U.S. government, particularly the incoming administration and Congress, to prioritize AI development. He called for increased investments in AI research at universities and through agencies such as the National Science Foundation. Smith also pointed out the competitive advantage the U.S. holds in the global AI race, particularly in contrast to China, which is investing in AI infrastructure and subsidizing access to essential computer chips.
Microsoft’s significant spending will go toward building cutting-edge data centers, advancing AI model training, and rolling out cloud-based AI applications globally. The company’s fiscal year runs through June 2025.
Although it is still unclear when the returns on these investments will materialize, the competition among tech giants to influence the future of AI and set global technology standards remains intense.
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