Microsoft (MSFT) just went ballistic.
Since the year began, the stock jumped from about $244 to a current price of $363.29. Today alone, it’s up 5%, or $17.08 a share. All on news it just announced a $30 per month subscription for the use of generative AI with Microsoft 365.
As noted by CNBC, “Adding on the subscription to Copilot, a generative AI assistant that works across Microsoft 365 programs, could increase monthly prices for enterprise customers as much as 83%. Copilot’s capabilities include ranking incoming emails, summarizing meetings, analyzing spreadsheet data, offering writing prompts, and designing presentations.”
Even better, this gives MSFT a bigger piece of the generative AI pie, which is significant.
Generative AI could add between $2.6 trillion and $4.4 trillion a year to the global economy. That’s according to a new McKinsey report, which also said it could have a “significant impact across all industry sectors. Banking, high tech, and life sciences are among the industries that could see the biggest impact as a percentage of their revenues from generative AI.”
Even better, according to Mizuho Securities analyst James Lee, “Gen-AI is driving the next super cycle of cloud adoption that accelerates mass market migration over the next few years since the new technology can only be efficiently deployed in the cloud.”
MSFT last traded at $363.29 on a volume spike to 44.9 million shares, as compared to a daily average volume of 27.3 million.