From Financial Modeling Prep: 2025-02-24 04:43:58

Microsoft Corporation (MSFT) has cancelled data center leases in the U.S. and scaled back international expansion plans, hinting at AI infrastructure oversupply. The company walked away from over 100 MW of deals, redirected spending to the U.S., and may face challenges as OpenAI potentially shifts funding to SoftBank.

Microsoft’s involvement in OpenAI and Project Stargate faces scrutiny as the emergence of DeepSeek, a Chinese AI model, impacts U.S. tech stocks. The $500 billion AI data center project could signal shifting alliances, challenging assumptions on AI infrastructure ROI.

Investors tracking Microsoft’s AI investments can analyze Financial Growth data and Key Metrics (TTM) to assess CapEx trends and stock valuation relative to AI investment returns. While Microsoft remains an AI leader, monitoring data center investments, AI monetization efforts, and OpenAI’s funding structure is crucial for long-term stock performance.



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