Microsoft's Debt Surged by More Than 6,000,000,000 Dollars in Just 3 Months
Microsoft paying worthless companies to fake being 'customers' isn't a viable way to keep revenue from falling. It keeps Azure (over-provisioned) busy, but at great expense to Microsoft, which burns a lot of energy in an age of climate crisis (for the sole purpose of faking the company's 'worth'). Bailouts aren't the solution and there's no "energy crisis" but a Ponzi crisis.
OpenAI: If OpenAI Survives Another 2 Years, It'll be About 30 Billion Dollars in Cumulative Losses/Debt (it's basically an elaborate and pseudo-technical pyramid scheme like 'cryptocurrency')
Meanwhile at Microsoft. Based on numbers released hours ago:
WE are starting to see some genuine, honest reports about GAFAM and IBM, which has many layoffs coming this year. Even a publisher that took IBM money decided to "bite the hand" and say that IBM "headcount reductions may be on the way once more."
At Microsoft, 2025 layoffs began already and hours ago the latest accounting figures came out, revealing that debt is ballooning again (screenshot above). Microsoft had $235,290,000,000 in liabilities some months ago and that number is still very high today:
Microsoft has $231,203,000,000 in liabilities. Great. Source: www.microsoft.com/en-us/investor/earnings/FY-2025-Q2/press-release-webcast
How does one pay this? If Microsoft had some money in the bank ("cash and cash equivalents" are now at $17,482,000,000), it would not have to worry, but at the moment it lays off workers like crazy. Two waves of mass layoffs so far this month!
We hear from inside Microsoft that there's anxiety and panic among managers (who know better what's happening). If their employer has over 100 billion dollars in debt and 17 billion dollars in "cash and cash equivalents" (money in the bank is less than that), then no wonder there are so many layoffs and other cuts. How much is interest on the debt alone? How many billions per year?
As for IBM, well... IBM's debt is now 58,396,000,000 US dollars, so it has barely managed to pay back its immediate, pressing liabilities. With interest rates on loans being very high, that's a massive yoke they're carrying. When the rates were about 1% it seemed like borrowings were "cheap money" or "free money"; those days are gone.
But OK, OK... let's blame China or DeepSick [sic] (Seek) for the bubble imploding. This has nothing to do with insane loans and NVIDIA claims to have "lost half a trillion dollars" in so-called (fake) 'value' in just one day because of Red China. Sure, not because of a gold rush for GPUs, caused by lies and irrational hype. █