Microsoft, Google earnings shine as AI drives revenue

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Microsoft and Google on Thursday drubbed quarterly earnings expectations as the tech titans continued investing heavily in artificial intelligence promising to shake up the way people live.

Google and Alphabet Inc. CEO Sundar Pichai says the internet giant is well position for an artificial intelligence era with technology it is building into its platform and services.

The earnings come as Google, Microsoft, Amazon and other rivals competing in the hot field of AI face scrutiny from regulators in the US and Europe.The US Federal Trade Commission early this year launched a study of AI investments and alliances as part of an effort to make sure regulatory oversight can keep up with developments in the sector and stop major players from shutting out competitors in a field promising upheaval in multiple areas of business.

Microsoft has been hugely rewarded by investors since it aggressively pushed into rolling out generative AI, starting with its $13 billion partnership with OpenAI, the creator of ChatGPT, in 2023.The embrace of AI has boosted sales of its key cloud services, such as Azure, which have become the core of Microsoft's business under Nadella’s leadership.

 

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