Microsoft's Azure and its suite of productivity software were down for thousands of users on Wednesday, according to outage tracking website Downdetector.com.

The company is seeing more demand for its cloud computing and AI services than it can keep up with, a challenge that is supercharging profits.

Microsoft outage affects thousands across platforms - The company warned users may face admin center access issues and service delays

Microsoft's spending on artificial intelligence infrastructure soared to a record of nearly $35 billion in the September quarter, deepening investor

However, Microsoft revealed a major drop in profit due to what it termed was an “equity method investment” in OpenAI Group PBC, resulting in a 41-cents-per-share hit to its earnings and a $3.1 billion drop in its net income. Even so, the company’s bottom line was still healthy at $27.7 billion, up from $24.67 billion in the year-ago quarter.

The company reported that it spent a higher-than-expected $34.9 billion in capital expenditures during its quarter.

Microsoft reported its latest quarterly earnings results Wednesday, revealing that gaming revenue decreased $113 million (2%). The tech company attributed the decline to a nearly 30% drop in Xbox hardware sales “offset in part by growth in Xbox content and services.

Microsoft's CEO, Satya Nadella, told investors that the company plans to double its data center footprint over the next two years.