Zhitong Finance APP learned that $Microsoft (MSFT.US)$At the Ignite conference held in Chicago on Tuesday, a series of major updates to cloud and artificial intelligence services were grandly launched, showcasing its strong capabilities and extensive layout in the field of AI technology. At the event, Microsoft not only demonstrated several improvements to the Microsoft 365 Copilot platform, including new AI agent functionality, but also previewed AI servers using the Nvidia Blackwell GB200 chip and announced a series of system security upgrades. In addition, Microsoft also emphasized its customer growth in the AI field, with nearly 70% of Fortune 500 companies using Microsoft 365 Copilot.

Specifically, one of the highlights of Microsoft's latest AI update is Copilot Actions, a feature in private preview that provides users with daily meeting summaries, holiday emails, and note summaries, greatly improving work efficiency.

In terms of software development tools, Microsoft has launched the Azure AI Foundry SDK to help enterprises build and manage their own AI applications and agents. Additionally, the Azure AI Foundry agent service allows developers to combine AI agents to automate different business processes.

On the hardware side, Microsoft introduced Windows 365 Link, a small PC for accessing Microsoft cloud services, set to launch in April 2025. Furthermore, Microsoft previewed AI servers using nvidia GB200 chips, providing customers with access to AI-optimized virtual machines and cloud-based computing.

In the security domain, Microsoft introduced the Microsoft Security Exposure Management platform to help cybersecurity experts better understand the security status of enterprise networks and prevent hacker attacks in advance. Additionally, Microsoft has enhanced the security of AI applications through the data loss prevention feature of Microsoft 365 Copilot.

This round of updates comes as Microsoft seeks to fully monetize its investments in the field of artificial intelligence in recent years, including its stake in OpenAI, the developer of ChatGPT. Microsoft's better-than-expected first-quarter earnings were boosted by significant growth in artificial intelligence contributions to the Azure cloud business division. Microsoft's stock price has also risen in the past year, showing market recognition and expectations for Microsoft's AI strategy.

Several analysts and investment groups have expressed positive views on Microsoft's artificial intelligence strategy. In Wednesday's conference report, the Jefferies analyst team led by Brent Hill specifically pointed out that data governance and access are the main challenges hindering the wide promotion of Copilot and revealed that many companies are using MSFT Purview to ensure effective governance of M365 Copilot. Jefferies reiterated its 'top AI pick' rating for Microsoft, maintaining a buy rating and setting a target price of $550.

JPMorgan analyst Mark Murphy also expressed strong confidence in Microsoft in a report. He pointed out that Microsoft stands out in the market, with generative artificial intelligence (GenAI) integrated into both its applications and infrastructure stack. The core areas of AI product development cover not only Microsoft Copilots and Agents but also extend to M365, Azure, Windows, devices, hardware, security, data, and analytics, among many other aspects.

Despite the recent underperformance of Microsoft's stock price, JR Research, a subsidiary of Ultimate Growth Investing, maintains a buy rating on Microsoft.

In the analysis report released today, JR Research stated that despite facing certain restrictions in artificial intelligence expansion, Microsoft is poised to effectively address short-term profit risks due to increased capital spending on AI growth, thanks to its diversified business. Furthermore, JR Research also points out that Microsoft can combine its value-added packages with existing product suites, further advancing its monetization in artificial intelligence.

Editor/ping