Microsoft has announced plans to invest nearly $80 billion (roughly Rs. 6,86,200 crore) in fiscal year 2025 to improve its data center infrastructure. According to the company's most recent blog post, this investment is intended to improve the training of complex artificial intelligence (AI) models and boost the adoption of AI-powered and cloud-based apps.

The surge in AI-related investment suggests a growing desire to incorporate AI technology into various products and services, a trend that has accelerated significantly with the debut of OpenAI's ChatGPT in 2022.

The advancement of AI necessitates massive computational resources, necessitating the use of specialized data centers capable of connecting hundreds of powerful chips across large clusters. In response, Microsoft has committed enormous resources to improving its AI infrastructure and expanding its global data-center network.

According to reports, market experts expect that Microsoft's total capital expenditures, including capital leases, will be around $84.24 billion (around Rs 7,20,475 crore) in fiscal 2025, based on Visible Alpha data.

Significantly, in the first quarter of fiscal 2025, Microsoft's capital spending increased by 5.3 percent to $20 billion (roughly Rs 1,71,541 crore), demonstrating the company's commitment to driving improvements in AI and cloud computing.