Microsoft, Google and Amazon prepare to report on billion-dollar AI investments
The largest technology companies, Microsoft, Alphabet (the owner of Google) and Amazon, will present their quarterly financial results on October 28–29.
The main question for investors is whether the companies’ revenues justify their huge expenditures on developing artificial intelligence, Business Insider reports.
The combined market value of the 3 corporations is about $10 trillion. They are investing hundreds of billions of dollars in building data centers, purchasing powerful chips and developing AI services.
However, investors are increasingly questioning whether these investments will generate sufficient profit. Cutting expenses is also risky: the companies could fall behind their competitors in the technology race.
Particular attention will be paid to the Azure, Google Cloud and AWS cloud services, through which businesses gain access to computing power and AI.
The upcoming reports will show how quickly revenue from these services is growing and whether the technology giants are managing to turn the excitement around AI into a sustainable business.
