Microsoft CEO Satya Nadella announced record fiscal-year performance and future AI focus. The company is building a new AI model system for efficiency and resilience. Microsoft has shipped over a dozen models, reducing GPU costs significantly. Copilot adoption is accelerating rapidly with doubled user satisfaction scores. Customer engagement with Copilot now rivals Outlook and Teams usage.

The memo cited "important progress in key areas" like Azure and Microsoft 365 Copilot. These businesses have faced pressure amid generative AI boom.

The company plans to combine chat, agents and business workflows into a single AI workspace while separating memory, context and orchestration from any one foundation model.