tech
January 29, 2026
Satya Nadella insists people are using Microsoft’s Copilot AI a lot
With Microsoft spending many billions on data centers, and rumors that no one is using its AI, CEO Satya Nadella shared some usage numbers.
TL;DR
- Microsoft's revenue reached $81.3 billion, up 17%, with net income up 21% to $38.3 billion.
- Microsoft Cloud revenue exceeded $50 billion.
- The company spent $72.4 billion on capital expenditures in the first half of the current fiscal year, nearing last year's total of $88.2 billion.
- A significant portion of this spending is allocated to AI development and services, particularly for OpenAI and Anthropic.
- Investors are concerned that growth in Azure and Microsoft 365 segments fell short of expectations.
- CEO Satya Nadella attempted to assuage these concerns by highlighting AI adoption and user growth.
- Daily users of consumer Copilot products grew nearly 3x year-over-year, though specific numbers were not provided.
- GitHub Copilot has 4.7 million paid subscribers, a 75% increase year-over-year.
- Microsoft 365 Copilot has 15 million paid seats.
- Dragon Copilot (healthcare AI) is available to 100,000 medical providers and documented 21 million patient encounters last quarter.
- Nadella stated that demand for AI services outstrips data center supply, with new equipment booked to capacity.