Microsoft’s AI gold rush continues while hardware business cools

Microsoft’s AI revenue surged by 175% year-over-year, reaching a $13 billion annual run rate, while gaming hardware sales dropped significantly. Despite robust overall revenue growth driven by AI and cloud services, the gaming hardware segment faced a 29% decline.

​Microsoft’s AI revenue surged by 175% year-over-year, reaching a $13 billion annual run rate, while gaming hardware sales dropped significantly. Despite robust overall revenue growth driven by AI and cloud services, the gaming hardware segment faced a 29% decline.