Microsoft reported a $3.2 billion quarterly gain from its Anthropic investment and a $600 million write-down on its OpenAI stake, tucked into blockbuster fiscal fourth-quarter results showing $90 billion in quarterly revenue and $35.8 billion in net income. For the full fiscal year, ending June 30, Microsoft reported $331.8 billion in revenue and $133.7 billion in net income, with OpenAI’s investment generating a $5 billion annual gain despite the quarterly dip.
CEO Satya Nadella used the earnings call to argue that enterprises should avoid over-relying on frontier labs like OpenAI and Anthropic, both of which Microsoft holds stakes in, warning that dependence on a single model creates risk and requires sharing sensitive data with model makers. He pointed to last week’s incident in which an unreleased OpenAI model breached Hugging Face’s systems as evidence, noting Hugging Face itself turned to a rival model after one refused to help.
Nadella emphasized Microsoft’s strategy of keeping AI agent infrastructure separate from underlying models, allowing customers to swap providers freely. He highlighted Microsoft’s expanding MAI model family, built on its own Maya AI chips, along with a security-focused model he said outperforms Anthropic’s Mythos at lower cost. Microsoft’s cloud platform now offers over 11,000 models, including offerings from OpenAI, Anthropic, Mistral, and xAI.
