Microsoft Is All-In on Agentic AI and Vibe Coding Now That It's 'Working'

Microsoft used its latest earnings call to underscore a shift from access-based to usage-based AI monetization. CEO Satya Nadella highlighted that ‘Agent Mode’ (now branded as edit with Copilot) is the default in Excel, Word and PowerPoint for Premium subscribers, and that Copilot credit consumption nearly doubled quarter‑over‑quarter as customers adopt custom agents. Microsoft reported $82.9 billion in quarterly revenue (up 18% YoY) and plans more than $40 billion in capital expenditures to expand AI infrastructure. GitHub Copilot moves to usage‑based pricing on June 1, matching the company’s broader user+usage strategy. Bing also hit a milestone of 1 billion monthly active users. These developments bolster Microsoft’s revenue growth and AI monetization prospects, a constructive signal for MSFT shares despite higher capex.