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Microsoft changed data center lifespans from 15 years to 25 years—this is not accounting, it's magic On July 29, Microsoft released its earnings report. Revenue reached 90 billion yuan, exceeding expectations. Azure grew 43%, exceeding expectations. The stock price surged nearly 9% in after-hours trading. A wave of joy erupted. But if you look closely at the financial report, there's a detail that keeps me awake. Microsoft announced that it will extend the estimated service life of data centers and office buildings from 15 years to 25 years. CFO Amy Hood said this reflects "our operational history and the anticipated use of our assets." In plain language: we believe data centers can last 25 years, so there's no need to rush to depreciate. And then? The 2026 capital expenditure guidance has been lowered from $190 billion to $175 billion. The book value was 15 billion. But the actual investment has not changed at all. Wait, isn't this just a change in the number? Yes. Purely accounting operations. Extending the depreciation period → reducing annual depreciation expenses→ improving profit figures→ capital expenditure guidance "declining"→ the market feels "AI investment has cooled down?" Good news! ” One operation, a win-win-win. But here's the question—can a data center really last 25 years? An AI chip can be replaced every 18 months. GPUs are updated every two years, servers are phased out every three to five years. You tell me a data center can last 25 years? The chips installed inside have been replaced by more than ten generations, and the house is still depreciating? Economist David Woo bluntly said: the AI bubble has officially burst. He is already building AI-related short positions. Michael Burry is even more ruthless—he says these tech giants have inflated profits by 20% through accounting tactics. If the actual 2.5-year depreciation cycle is used, these companies' profitability would disappear immediately. What's the most ironic? In the fourth fiscal quarter, Microsoft's capital expenditure was $41 billion, up 69% year-over-year. In one year, 88 new data centers were opened. Moody's has raised its capital expenditure forecast for the six major hyperscale cloud vendors for 2026 to $785 billion. AI investment has not stopped but is accelerating. But as the depreciation period is extended, the costs of these investments are "hidden" in the financial statements. Short-term profits look good, but what about the long run? Tell me 25 years from now that these data centers are still in use? This reminds me of the 2000 internet bubble. At that time, companies also used various accounting maneuvers to turn losses into profits. And now? Hide depreciation, increase profits, and stabilize the stock price. When the tide goes out, who's swimming naked? Microsoft's real capital expenditure in one quarter is 41 billion, with an annualized increase of over 160 billion. The GPUs, servers, and data centers invested in this money will never last 25 years in real life. At that point, the issue will either be scrapped early and a one-time loss provision will be made, or the depreciation period will be "adjusted"—pushing the issue forward. This isn't asset management; it's called passing the ball. $MSFT $META $GOOGL #折旧年限延至25年, Microsoft's capital expenditure guidance was lowered