Microsoft’s cloud and AI businesses are doing pretty well — and their impact is being felt across the company. In its Q2 2025 earnings, Microsoft announced revenue of $69.6 billion for the quarter, up 12 percent year-over-year, and net income of $24.1 billion, which is up 10 percent year-over-year.

Microsoft reported lower-than-expected revenue growth for its AI and cloud divisions as scrutiny grows over tech's AI investments.

Microsoft Corp. investors focused on the company’s disappointing revenue of its Azure cloud business on Wednesday, but they should also be looking at another number indicative of future growth: bookings.

Microsoft has moved surprisingly quickly to bring R1 to its Azure customers.

KEY TAKEAWAYS OpenAI said Wednesday that it is probing whether Chinese artificial intelligence startup DeepSeek improperly used its data to launch the low-cost model that spooked markets Monday.The comment by OpenAI follows a Bloomberg report that both OpenAI and its biggest backer Microsoft are investigating DeepSeek's model.

Microsoft and OpenAI are investigating reports that a group associated with Chinese AI startup DeepSeek may have unlawfully extracted data from OpenAI's API. This move comes after DeepSeek unveiled its own AI model,