All eyes on AI to drive tech giants' earnings

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NEW YORK — Over the next two weeks, the quarterly results of Big Tech giants will offer a glimpse on the bankability of artificial intelligence (AI) and whether the major investments AI requires are sustainable for the long haul.

NEW YORK — Over the next two weeks, the quarterly results of Big Tech giants will offer a glimpse on the bankability of artificial intelligence and whether the major investments AI requires are sustainable for the long haul.Analysts at Wedbush Securities, one of Wall Street's biggest believers in AI's potential, expect 'growth and earnings to accelerate with the AI revolution and the wave of transformation' it is causing.The market generally agrees with this rosy AI narrative.

People stand inside the Microsoft store on Fifth Avenue on July 19, 2024 in New York City. Microsoft is one of the Big Tech companies that are banking on artificial intelligence in its products to boost quarterly profits. AFP PHOTOThe iPhone maker, which releases its results on August 1, unveiled its new Apple Intelligence system only last month and plans to roll it out gradually over the next months, and only on the latest models.

 

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