Microsoft is spending $80 billion on data centers this year

Microsoft has published a lengthy piece talking about its vision for artificial intelligence development over the next four years, under the incoming Trump administration. In the piece, the company has revealed that it’s spending a total of $80 billion on AI-enabled data centers in 2025. Microsoft said it’s building out the data centers to be able to train and deploy AI models, as well as to power its cloud-based applications. While that’s the entirety of its budget for projects around the world, more than half of it will go towards building data centers in the United States.

The company explained that none of the progress on AI the industry has achieved thus far would be possible “without new partnerships founded on large-scale infrastructure investments.” It’s now calling for the incoming Trump administration to expand the government’s support for the advancement of AI within the US, such as providing the National Science Foundation and US universities more funding for research.

Microsoft admitted in the piece that it knows AI will “disrupt the economy and displace some jobs,” but it also said its “confidence has grown that AI will create new opportunities that will outweigh many of the challenges ahead.” The key, Microsoft explained, is to train Americans so that they’d be able to use AI as a tool for their jobs, similar to how they’re currently using smartphones and laptops. Finally, it said that the third critical priority for 2025 is the promotion of American AI exports. There will be a race between the United States and China to spread their technologies to other countries, so the US needs a smart strategy because the race “will be won by the fastest first mover.”

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