Microsoft vs. Broadcom: Two AI Powerhouses, One Better Investment

Microsoft (NASDAQ: MSFT | MSFT Price Prediction) and Broadcom (NASDAQ: AVGO) sit on opposite sides of the same AI trade.

Microsoft just closed Q4 FY2026 with $90.01 billion in revenue, while Broadcom posted Q2 FY2026 revenue of $22.187 billion. One rents the AI factory. The other sells the picks. Comparing them right now tells you where enterprise spending is actually landing.

Copilot Seats Carry Microsoft. Custom Silicon Carries Broadcom.

Microsoft’s quarter was a software story wearing an infrastructure suit. Intelligent Cloud jumped 32% to $39.31 billion, Azure grew 43% year over year, and full-year Azure revenue crossed $100 billion for the first time. Microsoft 365 Copilot hit over 30 million paid seats, and commercial RPO of $678 billion, up 84%, is the number I keep circling. That is contracted work, not hope.

CEO Satya Nadella framed it plainly: “We are advancing the frontier on the cost-to-outcome curve, ensuring…