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Microsoft is bracing for potential disruptions to its AI services as unprecedented demand strains its data center capacity. CFO Amy Hood warned during the recent Q3 2025 earnings call that the company’s rapid deployment of new data centers is struggling to keep up with the skyrocketing interest in its AI offerings. This supply-demand imbalance could lead to capacity constraints as early as June, potentially impacting the availability and performance of key Microsoft AI services. Microsoft is actively working to mitigate these infrastructure challenges and minimize any potential impact on users.