Reported 2 months ago
Amazon is set to report a substantial increase in capital spending on artificial intelligence, joining Google and Microsoft in a race to expand AI capabilities. Expected to rise by 43% to $16.41 billion in Q2, this spending aims to enhance Amazon's cloud infrastructure, specifically within its AWS division. However, analysts warn that despite increased investment, Amazon may struggle with margin pressures and competition, particularly from Microsoft. Notably, while AWS growth is forecast to stabilize, the company's overall revenue may show the slowest growth in five quarters amid broader consumer spending challenges.
Source: YAHOO