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Microsoft Borrows $25 Billion as AI Costs Rise

Microsoft is raising $25 billion through a bond sale, a way of borrowing money from investors, as the cost of AI infrastructure rises. The move comes days after the company offered voluntary buyouts to nearly 60,000 employees. It expects up to 3,000 of them to accept the exit offer.

Context

Context: Companies often borrow through bonds to fund large projects, and AI data centres and chips are among the costliest spending today. Voluntary buyouts are offers to leave with payment, a common cost-cutting step at large tech firms.

Economic Times
Burning Potato score: 71%

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