Microsoft (MSFT): A $25B hardware inflation tax & the end of seat licenses [Q3 2026]

Microsoft's Q3 2026 results reveal a fascinating paradox: as AI revenue crosses a $37 billion run rate, the company is absorbing a punishing $25 billion hardware inflation tax just to keep the servers running.In ~10 minutes:- How Microsoft permanently erased its OpenAI revenue-sharing obligations.- The shift of GitHub Copilot to usage-based pricing models.- Why CY26 CapEx is exploding to a staggering $190 billion.- Unpacking the surprise $900 million voluntary retirement charge.While cloud margins ticked down to 66% under the immense weight of infrastructure spending, the underlying operational execution is breaking internal records. Datacenters are coming online weeks early, proving Microsoft is willing to cannibalize short-term legacy margins and aggressively restructure its workforce to secure ultimate leverage in the AI arms race. Company: Microsoft Corporation (MSFT) | Q3 FY2026AI-assisted production. Feedback/ticker requests: https://x.com/EarnUnscripted.