Connect with us

Hi, what are you looking for?

The Freedom RightThe Freedom Right


Microsoft, OpenAI Plan $100B AI Data Center by 2028

Microsoft, OpenAI Plan $100B AI Data Center by 2028

Quick Look:

NVIDIA leads as the top profitable chip brand in Q3 2023;
Microsoft collaborates with OpenAI on a $100 billion data centre;
NVIDIA’s revenue hits $18.12 billion; Microsoft stock up 10%;
Microsoft aims for AI self-sufficiency with ‘Stargate’ supercomputer;
Morgan Stanley raises Microsoft’s stock target to $520.

Microsoft’s stock has shown remarkable growth, climbing 10% year-to-date in 2024 after a strong performance the previous year. This upward trajectory is supported by robust earnings, with a notable 16% year-over-year increase in revenue in the most recent quarter. NVIDIA has cemented its position as a leader in the semiconductor industry, topping the charts as the world’s most profitable chip brand for Q3 2023. A surge in demand for GPUs, driven largely by advancements in artificial intelligence, has propelled the company to impressive heights. In this quarter alone, NVIDIA reported a staggering $18.12 billion in revenue, paired with a profit of $10.42 billion. This financial success underscores NVIDIA’s critical role in the ongoing technology revolution, providing the hardware that powers AI innovations across various sectors.

Microsoft and OpenAI’s Strategic Collaboration

In partnership with OpenAI, Microsoft plans to revolutionise its infrastructure to reduce reliance on external chip suppliers like NVIDIA. This involves investing in a new data centre, estimated to cost around $100 billion and slated for completion by 2028. Additionally, the project includes the development of ‘Stargate,’ an AI-powered supercomputer.

This initiative marks a strategic shift toward self-sufficiency in computing resources. It also aims to accelerate the development and deployment of AI capabilities. Moreover, a smaller version of the supercomputer is expected to be operational by 2026. This move signals Microsoft’s commitment to maintaining a leading position in AI technology.

Financial Upswing and Future Prospects

Specifically, revenue from Microsoft Azure and other cloud services surged by 28% in constant currency. Recognising the company’s potential to capitalise on AI and cloud services, Morgan Stanley analyst Keith Weiss has raised the price target for Microsoft’s stock from $465 to $520, maintaining a positive rating. This adjustment anticipates nearly a 26% increase from the current share price and reflects confidence in Microsoft’s strategic direction and its ability to harness growth opportunities within the AI landscape.

Through these developments, both NVIDIA and Microsoft are positioning themselves as pivotal players in the tech industry’s shift towards more advanced AI-driven environments. This not only highlights their current financial success but also sets the stage for future innovations and market leadership.

The post Microsoft, OpenAI Plan $100B AI Data Center by 2028 appeared first on FinanceBrokerage.

Enter Your Information Below To Receive Latest News, And Articles.

    Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

    You May Also Like


    Vermont Sen. Bernie Sanders, 81, defended President Biden, 80, against voter critiques that he lacks the energy and vigor to continue leading the United...


    Political advisers to both President Biden and Vice President Harris were reportedly annoyed with Democrat California Gov. Gavin Newsom over a planned debate with...

    Editor's Pick

    By the IoT Analytics team. A new report from IoT Analytics highlights eight notable trends helping to advance and promote digital twins. Four of...


    A second delivery driver has died in Texas amid record-high temperatures, just as the regulation of workplace heat safety enters a new legal limbo...

    Disclaimer:, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2020-2024 The Freedom Right. All Rights Reserved