Here’s why investors pummeled Microsoft’s stock after it beat revenue and profit forecasts

Microsoft CEO Satya Nadella frowning while standing in front of a sign that says "Age of AI"

Why is this man frowning? Microsoft CEO Satya Nadella says the impact of Chinese AI startup DeepSeek and its innovative, low-cost AI models should be good for Microsoft’s bottom line. But investors are not convinced.

Dimas Ardian—Bloomberg via Getty Images

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