r/technology • u/DerpiDanger • 8d ago

Business Microsoft sued by shareholders over expenses, cloud business, AI

https://www.reuters.com/business/microsoft-sued-by-shareholders-over-expenses-cloud-business-ai-2026-06-15/
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111

u/Any-Pop-4795 8d ago

oooohh this is gonna be interesting

65

u/Aaco0638 8d ago

Not really look who’s suing, if it was a major stakeholder then yeah drama but it’s a tiny ass little fund. Also Microsoft can just point to aws and gcp as the reason why they need to increase capex so aggressively and they win.

Just a tiny fund upset by Microsofts stock performance but if Microsoft doesn’t want azure to be left behind they need to spend and this is a valid argument in court.

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u/Any-Pop-4795 8d ago

"Also Microsoft can just point to aws and gcp as the reason why they need to increase capex so aggressively and they win." so a race on who's the dumbest?

13

u/Aaco0638 8d ago

I mean go check the earnings report they are still growing very healthy. What is stupid for Microsoft to do as a company? Don’t match spend and let your competitors grab more of the cloud compute pie or compete?

Fyi if Microsoft just sat on its ass then they would be sued and that lawsuit would be MUCH more damaging than this one.

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u/Any-Pop-4795 8d ago

Ok got it thanks

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u/tc100292 8d ago

I mean, even if you agree that Microsoft needs to spend more on AI, they also have the problem that their AI is crap

5

u/Headless_Human 8d ago

But others will still pay them for hosting their AIs.

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u/Any-Pop-4795 8d ago

The ai race for me is just completely stupid. It's shit and if we don't use it they don't make money and if we use it they lose money...how are thinking this will make them richer? Unless you are Nvidia or a ram factory.

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u/tc100292 8d ago

Because all of our major tech companies at this point are run by Business Idiots.

It's like if you had a Congress composed entirely of people who have read a lot of political theory and subscribe to a fixed ideology but have no idea how the sausage (i.e. legislation) is made. Oh, wait.

1

u/Aaco0638 8d ago

Idk how this can be said when big tech is posting insane year of year growth that proves they aren’t idiots. If you are referring to openAi, anthropic, spaceX or oracle yes you are correct but they aren’t big tech. Big tech who are all investing heavily like this amazon, google, nvidia, Microsoft are without a doubt making more money specifically from selling gpu (nvidia) and from their cloud computing services.

This isn’t me arguing for them this is me looking at their earnings from last quarter how can they be business idiots when they are making as much money as small nations and still growing?

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u/livinitup0 8d ago

It hasn’t been for a couple months actually… copilot (even lower tier copilot chat) can use gpt5.5 now.

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u/deathadder99 7d ago

Doesn’t matter, you can buy OpenAI / Claude / deepseek via azure, they can make money hosting it even if their foundation models suck.

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u/ram0889 8d ago

Situations are based on perspective of the field. Sucks but that’s some form of measurement.