Bill Ackman's Pershing Square Bets on Microsoft's AI Ambitions With New Stake -- Update

By Gareth Vipers

Bill Ackman's Pershing Square has taken a new stake in Microsoft, a bet that the software giant's investments in artificial intelligence aren't reflected in the company's slumping share price.

Ackman said in a post on X Friday that Pershing had started building the position in Microsoft in February, after the company's shares declined following its earnings report.

"We will disclose a new position in Microsoft, a company we have followed for many years now offered at a highly compelling valuation," Ackman said in the more than 800-word post, adding that Pershing had now made Microsoft a "core holding."

Microsoft's shares are down 15% this year and have lost more than a quarter of their value since they peaked last fall. The drop has been part of a wider software-industry selloff and investor concerns over hefty investments in AI. The shares were little changed in premarket trading after Ackman posted about the stake.

Ackman said investors "underestimate the resilience" of the Microsoft 365 subscription suite "given its deeply embedded role across enterprises and highly attractive price-value proposition."

Pershing will disclose the stake in regulatory filings later Friday, Ackman said.

Ackman has an avid online fan base, with more than two million followers on X. He often stirs up market interest in his investments by sharing his investment case online, where it becomes fodder for chat room discussions on Reddit and other online platforms.

Microsoft, the world's largest software company, has been moving to integrate AI into its cloud platforms and applications. However, it has faced challenges scaling its data-center capacity fast enough to meet growing demand.

Ackman cited Microsoft's partnership with OpenAI, which gives the software giant access to the startup's models and products. He said he believed Wall Street hadn't factored in the company's interest in OpenAI, which he valued at "approximately $200 billion."

San Francisco-based OpenAI plans an initial public offering for as soon as this year.

"We view Microsoft's recent decision to restructure its OpenAI partnership not as a concession but as part of a deliberate pivot toward a more open, multi-model architecture that better serves enterprise customers," Ackman said.

Write to Gareth Vipers at gareth.vipers@wsj.com

(END) Dow Jones Newswires

May 15, 2026 06:51 ET (10:51 GMT)

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