We know that tech giant Microsoft (MSFT) has been almost eagerly pushing AI systems into just about everything, though the impact of such a move is perhaps questionable. Its latest move might be the most questionable of all, as Copilot will be coming to LG televisions soon. The move left a bad taste in investors’ mouths, and shares slipped fractionally in Monday afternoon’s trading.
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The reports suggest that LG television owners were receiving updates that install the Copilot app onto their televisions. This by itself might not be such an issue, but the reports also noted that removing the app proved impossible. It was, however, possible to simply ignore Copilot’s presence on the television.
This move proved to offer some interesting implications. LG televisions run on a Linux-based system to offer up the webOS platform. Given that Linux users represent 3% of the PC market, it could be that Microsoft is planning to use the LG television push as a kind of testing ground for further Copilot expansions into the Linux user market. Other televisions are likely in line to get a Copilot upgrade, though some users may not want AI processing on their televisions. It remains possible, if only for now, to use a television as an unconnected display device, however.
$80 Games Out
While many of us are used to paying $60 for a game—and have paid those prices since the Super Nintendo era in some cases—the idea of paying $80 or more is a bit harder to swallow. But Microsoft’s plans to price games at the $80 level met with a lot of resistance, and Microsoft ultimately pulled back to a safer price point.
Matt Booty, head of Xbox Game Studios, commented, “From our point of view, monetization just happens in so many different ways right now. So we’re going to continue to listen to the feedback from fans. We’re going to continue, to balance that with needing to run the healthy business. But right now, on the content side, we don’t have any pricing updates.”
Is Microsoft a Buy, Hold or Sell?
Turning to Wall Street, analysts have a Strong Buy consensus rating on MSFT stock based on 32 Buys and two Holds assigned in the past three months, as indicated by the graphic below. After a 5.97% rally in its share price over the past year, the average MSFT price target of $632.22 per share implies 33.54% upside potential.
