Microsoft (MSFT) Announces $2.8 Billion Investment in AI and Cloud Expansion in Poland

We recently published a list of 10 AI Stocks Making Waves on Wall Street. In this article, we are going to take a look at where Microsoft Corporation (NASDAQ:MSFT) stands against other AI stocks making waves on Wall Street.

With so much happening in AI, keeping up with the latest news can be challenging. Every day, a new country emerges with its plans to embrace and advance in AI, tech companies keep unveiling new AI products, and industry leaders continue to shape the conservation-sometimes even with sharp exchanges.

READ ALSO: 10 AI Stocks Analysts Are Watching: Latest Ratings and News and Top 14 AI Stocks on Wall Street: News and Analyst Ratings

In the latest news, South Korea has announced plans to secure 10,000 high-performance graphics processing units (GPUs) this year. The country plans to keep itself relevant in the race toward artificial intelligence.

“As competition for dominance in the AI industry intensifies, the competitive landscape is shifting from battles between companies to a full-scale rivalry between national innovation ecosystems”.

-South Korea’s acting President Choi Sang-mok said in a statement.

These 10,000 GPUs will be secured through public-private cooperation to help the country launch services at its national AI computing center early. While the US government has recently announced a new regulation that aims to restrict the flow of American AI chips and technology to certain countries, South Korea doesn’t fall into the restricted list.

The details of the type of GPU products to be purchased by South Korea, its models, and other particulars will be finalized by September of this year. The US regulation has essentially divided the world into two tiers. 18 countries are essentially exempt from the restrictions, while 120 face caps, and countries such as Iran, China, and Russia are barred completely.

In other news, tech mogul Elon Musk has released its latest artificial intelligence model, Grok 3. According to Musk, the AI model can outperform offerings from OpenAI and China’s DeepSeek based on early testing. This testing included standardized tests on math, science, and coding.

“We’re very excited to present Grok 3, which is, we think, an order of magnitude more capable than Grok 2 in a very short period of time”.

-Musk said at a demonstration of Grok 3 on his social media platform X.

Musk’s team also said it was launching a new product called “Deep Search”, set to act as a “next generation search engine.”

For this article, we selected AI stocks by going through news articles, stock analysis, and press releases. These stocks are also popular among hedge funds.

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).

Microsoft (MSFT) Announces $2.8 Billion Investment in AI and Cloud Expansion in Poland

A development team working together to create the next version of Windows.

Microsoft Corporation (NASDAQ:MSFT)

Number of Hedge Fund Holders: 279

Microsoft Corporation (NASDAQ:MSFT) provides AI-powered cloud, productivity, and business solutions, focusing on efficiency, security, and AI advancements. On February 17, the company announced that it plans on spending PLN 2.8 billion by June 2026 to expand its hyperscale cloud and artificial intelligence (AI) infrastructure in Poland.

It will also be collaborating with the Polish National Defense to establish a framework to strengthen national cybersecurity. The investment will allow Poland to enhance its competitiveness by developing and adopting digital technology, support the growth of existing data center campuses, and expand Azure services to meet the demand of customers in the region.

“This is an investment in our future, our security, our youth, our startups, and our scholars. This is an investment that will provide Poles, especially the younger generation, with access to the most modern tools and opportunities offered by the best in the world. (…) This mutual trust and the fact that we can operate in the most challenging areas, such as cybersecurity. (…) Microsoft will also be conducting AI training in Poland. Tools, money, and investments are important, as is cooperation with our people and companies, but we will achieve the desired effects also by taking advantage of training opportunities. I am pleased to hear that the work on the Polish language model – Bielik – is progressing so well. It is not only a matter of aspirations but also something that indicates Poland’s importance in these processes and the high technical and intellectual skills of our staff – scientists and IT specialists”.

-Donald Tusk, Prime Minister of Poland.

Overall, MSFT ranks 2nd on our list of AI stocks making waves on Wall Street. While we acknowledge the potential of MSFT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than MSFT but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap

Disclosure: None. This article is originally published at Insider Monkey.