Microsoft: The AI Utility Thesis - Weighing $392 Billion Backlog Against CapEx Depreciation Cliff

Core Viewpoint - The investment thesis for Microsoft stock (MSFT) is centered on its significant shift from AI experimentation with OpenAI to large-scale commercialization, highlighted by a remarkable 112% year-over-year increase in commercial bookings in Q1-FY2026 [1] Summary by Categories Company Performance - Microsoft has achieved a 112% year-over-year increase in commercial bookings in Q1-FY2026, indicating strong growth and successful commercialization efforts [1] Industry Trends - The transition from AI experimentation to hyper-scale commercialization reflects broader trends in the technology industry, particularly in the integration of AI solutions into business operations [1]