Microsoft Plans To Spend $80 Billion On AI-Powered Data Centers In 20251 min read
Microsoft announced that it will invest about $80 billion in 2025 to build advanced data centers. These centers will help train artificial intelligence (AI) models and support AI and cloud-based applications stated in a report.
Since the launch of ChatGPT by OpenAI in 2022, many businesses have started using AI in their products and services. Building and running AI systems need a lot of computing power, which requires special data centers with thousands of connected chips.
Read more: OpenAI Unveils Bold Plan to Restructure Amid Costly AI Race
Microsoft has been spending heavily to improve its AI infrastructure and expand its network of data centers. Analysts predict the company’s total spending on capital projects, including leases, will reach $84.24 billion in fiscal 2025.
In the first quarter of 2025, Microsoft spent $20 billion on such projects, a 5.3% increase from the previous year.
As OpenAI’s main supporter, Microsoft has a strong position in the AI race. Its exclusive partnership with the creator of ChatGPT gives it a major advantage among other tech companies.
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