AI Not Yet in Circular Financing as Feared

Industry
โดย thunhoon.com·GLOBAL·Read original
Summary · why it matters

Concerns that AI would enter a circular financing cycle, where capital circulates within the industry without real demand backing, have not been supported by evidence, according to a report by the Wealth Research team at Bualuang Securities. The report points out that the end use of capital is being directed toward building data centers and increasing processing capacity, which has generated revenue from actual customers. Data from OpenAI shows processing capacity rising from 0.2 gigawatts in 2023 to 1.9 gigawatts in 2025, while annual revenue has climbed from $2 billion to at least $20 billion. Meanwhile, Microsoft Cloud reported revenue of $59.3 billion in the fourth quarter of fiscal year 2026, up 27%, and Azure's annual revenue has surpassed $100 billion. NVIDIA's Data Center revenue increased from $22.6 billion in the first quarter of fiscal 2025 to $89.0 billion in the second quarter of fiscal 2027, with revenue from AI Clouds, Industrial, and Enterprise segments growing more than threefold. Microsoft also stated that its AI business generates approximately $37 billion in annual revenue, up 123%, with over 30 million paid seats for Microsoft 365 Copilot. This reflects that AI is transitioning into services that generate real revenue. The research team therefore maintains a positive outlook on the AI Supercycle and sees no reason to reduce weightings in AI value chain stocks.

Impact on stocks 2

Artificial Intelligence▲ · 2 stocks
Microsoft Corporation
MSFT
▲ PositiveDemandrelevance

Microsoft Cloud revenue up 27% and AI business generating $37B annual revenue with strong growth.

NVIDIA Corporation
NVDA
▲ PositiveDemandrelevance

NVIDIA Data Center revenue surged from $22.6B to $89.0B, with AI segments growing over threefold.

Theme Impact 4

Off-coverage companies 1

OpenAIPrivate▲ Positive
Demandrelevance

OpenAI's processing capacity and revenue growth cited as evidence of real demand.

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