icon
icon
icon
icon
Upgrade
Upgrade

News /

Articles /

Microsoft Faces Antitrust Battles and Tech Hurdles Amidst Cloud and AI Expansion

Market BriefMonday, Sep 30, 2024 4:01 am ET
1min read

As of last week, Microsoft (MSFT) experienced a two-day consecutive decline, dropping 0.76% with a total decrease of 0.95%. Over the past week, the stock fell by 1.67%, although it has risen by 14.51% since the start of the year. The company's current market capitalization stands at $3.181 trillion.

In recent developments, Google has filed an antitrust lawsuit with the European Union accusing Microsoft of unfair licensing practices within its Azure cloud computing services. The complaint suggests that Microsoft's Azure licenses make it difficult for users to switch to other competitors like Google Cloud. This lawsuit is Google's latest move against Microsoft's practices, following a previous report in July that the company had offered a deal to EU cloud computing firms worth approximately €470 million ($512 million) to counter Microsoft's antitrust settlement. Through an agreement with CISPE, Microsoft avoided fines and further EU investigations, and the company expects the current lawsuit to fail.

Additionally, in a technological advancement effort, Microsoft has joined forces with TSMC and Ansys to enhance the simulation and analytical speeds of silicon photonic components by over tenfold. Utilising Microsoft's Azure NC A100v4 series virtual machines and NVIDIA's accelerated computing technology, this collaboration significantly boosts Ansys Lumerical FDTD 3D electromagnetic simulation software's photonics simulation speed. This advancement offers a robust platform for silicon photonic IC technology, which is essential for large-scale data centers and IoT applications, indicating potential breakthroughs in data communication, biomedical tools, automotive LiDAR systems, and AI.

In another strategic initiative, Microsoft has committed to investing $1.3 billion in cloud computing and AI infrastructure developments in Mexico. CEO Satya Nadella announced plans to enhance AI and cloud capabilities in the region, which are expected to benefit 500 locals and 30,000 small and medium enterprises over the next three years.

Recently, Microsoft faced technical challenges when a report revealed issues with the optional update KB5043145 for Windows 11 23H2/22H2 users. This update has led to repeated reboots, blue screens, and green screen errors for devices installing the patch. Microsoft's documentation acknowledged reports of customer devices experiencing system crashes after attempting the 2024 non-security preview update. While the company has introduced an automated repair tool to diagnose and resolve these issues, users may experience BitLocker recovery triggers. This update echoes similar problems faced by users in June and July, marking a continuation of unresolved update challenges.

Disclaimer: the above is a summary showing certain market information. AInvest is not responsible for any data errors, omissions or other information that may be displayed incorrectly as the data is derived from a third party source. Communications displaying market prices, data and other information available in this post are meant for informational purposes only and are not intended as an offer or solicitation for the purchase or sale of any security. Please do your own research when investing. All investments involve risk and the past performance of a security, or financial product does not guarantee future results or returns. Keep in mind that while diversification may help spread risk, it does not assure a profit, or protect against loss in a down market.