Microsoft expects to spend about $170 billion on capital expenditures in 2026, mainly for data centers, compared with nearly $190 billion previously projected. The lower reported figure results from changes in how certain leases are classified, rather than a pullback in the company’s artificial intelligence investment program. Microsoft reported $41 billion in capital expenditures for the fourth quarter of its fiscal 2026 and expects spending to exceed $50 billion in the following quarter. Commercial remaining performance obligations rose from $627 billion to $678 billion, while the company added numerous data centers and increased its capacity by one gigawatt.
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