Apple's AI Patience Beats Microsoft's $190B Splurge

Apple's cautious AI strategy is looking increasingly shrewd. The company posted $111.18 billion in March quarter revenue, up 16.6% year over year, with record Services revenue of $30.98 billion and a $100 billion buyback approval, all without massive AI infrastructure spending. Its stock is up 3.14% year-to-date. Microsoft, by contrast, is raising 2026 AI capital expenditure to $190 billion, with Q3 CapEx alone surging 84% year over year. Despite $37 billion in annualized AI revenue, user frustration over aggressive Copilot features has prompted public apologies. Microsoft shares are down 14.11% this year.