Microsoft reports quarterly sales up 16% to $65.6 billion as investors ask if AI spending worth it

AP Technology Writer

Microsoft on Wednesday reported its quarterly sales grew 16% to $65.6 billion as the company sought to assure investors its huge spending on artificial intelligence is paying off. The company has spent billions of dollars to expand its global network of data centers and other physical infrastructure required to develop AI technology that can compose documents, make images and serve as a lifelike personal assistant at work or home. As a result, AI-related products are now on track to contribute about $10 billion to the company’s annual revenue, the “fastest business in our history to reach this milestone,” CEO Satya Nadella said on a call with analysts Wednesday.