Microsoft hit 148 billion in annual capex largely to feed the AI furnace
Cloud revenue growth is slowing to 11 percent while data center costs jump 42 percent
They are paying 3 dollars for every 1 dollar of inference revenue generated
Server depreciation is accelerating as hardware lifecycles shrink from 5 years to 2
Windows commercial revenue is flat but overhead is up 28 percent per user
This is a margin crush hidden behind the curtain of enterprise software stability
They are subsidizing OpenAI losses instead of funding their own R&D
Net margins have compressed 7 percent since the AI pivot began in 2024
Management is burning cash to keep the growth narrative alive for investors
This is a desperate attempt to buy future relevance
JUST IN: Shareholders sue Microsoft, alleging it hid slowing Azure growth & billions in AI infrastructure spending.
— Polymarket (@Polymarket) June 15, 2026