Microsoft recorded an 8% year-on-year (YoY) growth in sales to $56.2 billion during the second quarter (Q2) of 2023, following its investments in generative artificial intelligence (AI).
The tech firm logged net profits amounting to $20.1 billion as of 30 June 2023, up 20% from the year-ago period. This crossed the record of $18.8 billion that was registered in the last quarter of 2021.
Microsoft’s big bet on AI created big expectations after the company executives stated that its sales projection for the next quarter would fall short of Wall Street expectations, its share price fell about 4% in after-hours trading.
Investors rallied behind Microsoft in recent months as the company unveiled generative AI-based features across its products, including integrating a chatbot into its Bing search engine and adding an A.I. assistant to its software used in offices around the world.
“Organizations are asking not only how — but how fast — they can apply this next generation of A.I. to address the biggest opportunities and challenges they face — safely and responsibly,” Satya Nadella, the company’s chief executive, said in a statement.
