The circular nature of funding for artificial intelligence (AI) infrastructure has weighed on technology stocks. However, Microsoft’s (NASDAQ:) recent announcement that it would continue to integrate Anthropic into its products, despite objections from the Trump administration, shows why its investments are paying off for users and shareholders.

Here’s the background. On March 5, the U.S. Department of Defense informed AI company Anthropic that it would label the company a supply-chain risk and would discontinue the use of its products within six months. President Trump went one step further and called for all federal agencies to discontinue their use of Anthropic.

Microsoft was the first company to announce it would continue to…