Microsoft Lowers AI Sales Targets After Customers Resist New Products
Dec 3, 2025
Microsoft has lowered its sales growth targets for certain artificial intelligence (AI) products. This decision comes after reports that many of the company's sales teams did not meet their goals for AI product sales in the last fiscal year, which ended in June.
The adjustment mainly affects enterprise AI software such as Microsoft 365 Copilot and products offered through the Azure Foundry business. The company decided to reduce sales quotas after facing resistance from customers regarding these new AI offerings.
Following the news, Microsoft's stock price dropped as investors reacted to the company's lowered expectations and apparent challenges in selling its latest AI products.
Why did Microsoft lower its AI sales targets?
Microsoft lowered its targets because many sales teams did not reach their goals for AI product sales and customers were reluctant to buy the new AI offerings.
Which Microsoft products are affected?
Enterprise AI products, such as Microsoft 365 Copilot and other AI software offered through the Azure Foundry business, are affected.
How did the stock market react to this news?
Microsoft's stock price fell after the news became public.
Sources
Microsoft lowers AI software sales quota as customers resist new products, The I...
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