Microsoft announces biggest-ever share buyback scheme to help boost investment

$60 billion stock-buyback program replaces a previous plan

When you purchase through links on our site, we may earn an affiliate commission.Here’s how it works.

Microsofthas revealed plans for a new $60 billion stock-buyback program as it looks to raise more funds for future investment and development.

The repurchase program has no expiration date and may be terminated at any time, according to the company’s statement

A partnership withOpenAIand investments into cloud technologies has ushered in a new era for Microsoft, which reported $75.5 billion in cash and equivalents as of June 30 2024, with free cash flow of $23.3 billion in the fiscal fourth quarter, “up 18% year-over-year reflecting higher capital expenditures to support our cloud and AI offerings.”

More investments to come

AI infrastructure is set to secure more investments in the near future, with the company already reporting a 77% rise in capital spending largely due toAIrelated endeavors.

Tech giants are facing huge pressure to produce returns from the recent AI, with Microsoft being one of the few companies to do so. Microsoft surpassed the $3 trillion market value mark, and is the second company to ever reach this level.AI is certainly emerging as a driving force behind Microsoft’s success, especially after the company integrated generative AI into a lot of core products, including its dedicatedchatbot, Copilot. Theprojections are incredibly promisingfor the company, which could be set to take the title of the world’s most valuable company from its current #2 spot.

ViaBloomberg

More from TechRadar Pro

Are you a pro? Subscribe to our newsletter

Sign up to the TechRadar Pro newsletter to get all the top news, opinion, features and guidance your business needs to succeed!

Ellen has been writing for almost four years, with a focus on post-COVID policy whilst studying for BA Politics and International Relations at the University of Cardiff, followed by an MA in Political Communication. Before joining TechRadar Pro as a Junior Writer, she worked for Future Publishing’s MVC content team, working with merchants and retailers to upload content.

Washington state court systems taken offline following cyberattack

Is it still worth using Proton VPN Free?

Top 3 things you have to try with the new ChatGPT search