In an apparent response to the attention on a new AI model out of China, Microsoft CEO Satya Nadella posted online

"Investing 'very heavily' in capital expenditure and infrastructure is going to be a strategic advantage over time," Mark Zuckerberg said.

Meta and Microsoft outperformed in Q4 and Q2 earnings but saw diverging market responses. See why META and MSFT stocks are poised for growth with agentic AI.

Microsoft Corp. Chief Executive Officer Satya Nadella had some kind words for DeepSeek, the Chinese artificial intelligence startup that roiled his company’s shares earlier this week.

Cut to Microsoft and Meta 's earnings calls Wednesday night and things were hunky dory. The CEOs of both companies, while acknowledging the efficiency improvements DeepSeek introduced to its AI models,

Chinese startup DeepSeek claims to offer competitive AI models at lower costs, raising doubts about U.S. tech giants' investments in AI. Microsoft and Meta defend their significant spending, highlighting its importance for long-term strategic advantage amidst increasing demand for AI solutions.