Investors grow concerned that AI expenses and a looming price war in cloud services could blow up its profits.

Microsoft reported second-quarter earnings and revenue that beat Wall Street estimates on Wednesday. The stock, however, was dropping. The company reported earnings of $3.23 a share on revenue of $69.

Microsoft said its cloud-computing business will continue to grow slowly in the current quarter as the company struggles to build enough data centers to handle demand for its artificial intelligence products.

Microsoft is bringing OpenAI’s o1 reasoning model to all Copilot users this week. You won’t need to subscribe to a $20 monthly Copilot Pro or ChatGPT Plus plan to get it either, as Microsoft is making it free for all users of Copilot.

OpenAI and Microsoft are probing whether DeepSeek used distillation to help train its rival reasoning model. President Trump expects to end birthright citizenship with support from Supreme Court 5 Tennis Superstars Who Are Into Golf as a Hobby ft.

Microsoft has reportedly launched an investigation into Chinese AI startup, DeepSeek. The OpenAI sponsor alleges the firm used ChatGPT to build its competing R-1 model. This investigation comes after researchers at Microsoft,