Microsoft has officially crossed the $4 trillion market value milestone, becoming only the second company after Nvidia to achieve this feat. The surge came after a stellar Q4 2025 earnings report, which beat Wall Street expectations and sent shares soaring over 9% in after-hours trading.
The tech giant reported $76.4 billion in revenue and $3.65 earnings per share, outperforming analysts’ estimates of $73.89 billion and $3.37 per share. Growth was powered by Microsoft Azure, which for the first time disclosed revenue of $75 billion, up 34% year-over-year. CEO Satya Nadella highlighted that cloud computing and AI are driving innovation and digital transformation across industries, from finance to manufacturing.
To meet surging demand for AI-powered services, Microsoft plans to invest $30 billion in capital expenditures next quarter to expand its data center and cloud infrastructure. CFO Amy Hood emphasized that demand for Azure and AI tools continues to exceed supply, reflecting the global race for AI dominance.
Microsoft’s record-breaking performance signals its strong positioning in the AI and cloud computing market, where competition with Google Cloud, Amazon Web Services (AWS), and Nvidia is intensifying. With aggressive investments, Azure growth, and generative AI integration across products, Microsoft is cementing itself as a leader in the next era of digital innovation.
As the AI-driven digital economy accelerates, Microsoft’s focus on scalability, cloud infrastructure, and advanced AI solutions ensures it remains a dominant force shaping the future of technology and enterprise transformation.
