{"id":22760,"date":"2026-04-30T19:09:22","date_gmt":"2026-04-30T19:09:22","guid":{"rendered":"https:\/\/www.europesays.com\/news\/22760\/"},"modified":"2026-04-30T19:09:22","modified_gmt":"2026-04-30T19:09:22","slug":"the-ai-earnings-bonanza-is-splitting-investors","status":"publish","type":"post","link":"https:\/\/www.europesays.com\/news\/22760\/","title":{"rendered":"The AI earnings bonanza is splitting investors"},"content":{"rendered":"\n

Amazon (AMZN<\/a>), Google (GOOG<\/a>, GOOGL<\/a>), Meta (META<\/a>), and Microsoft (MSFT<\/a>) reported their earnings after the bell on Wednesday, and the key to their announcements was, of course, how AI is impacting their businesses.<\/p>\n

Each company provided greater insights into how they\u2019re leveraging the technology to increase revenue through new AI features. Amazon, Google, and Microsoft pointed to stronger cloud growth, while Meta outlined how it\u2019s using AI to power its ads business.<\/p>\n

It was also a story of, you guessed it, increased capital expenditures, as they expand their AI computing capacity to keep up with demand.<\/p>\n

Despite strong performances across the board, Wall Street was mixed on the quartet of results.<\/p>\n

Investors gave Amazon and Google stock a boost, while punishing Meta and Microsoft.<\/p>\n

Amazon benefited from its fastest AWS growth in 15 quarters<\/a>. AWS revenue topped out at $37.6 billion in the quarter, beating Wall Street\u2019s estimate of $36.7 billion.<\/p>\n

The company\u2019s AWS backlog also grew $120 billion quarter over quarter to $364 billion, which Justin Patterson at KeyBanc Capital Markets noted doesn\u2019t include the company\u2019s more than $100 billion deal with Anthropic.<\/p>\n

On top of that, Amazon\u2019s chip business now has a $20 billion revenue run rate.<\/p>\n

Google also posted better-than-anticipated cloud growth<\/a>, which grew 63% year over year to $20 billion on the back of its Google Cloud Platform usage, including enterprise apps and infrastructure. The company\u2019s cloud backlog also doubled in the quarter to more than $460 billion.<\/p>\n

What\u2019s more, Google said it plans to sell its custom Tensor Processing Units<\/a> (TPUs) to select customers who will install the chips in their own data centers.<\/p>\n

That\u2019s a change from Google\u2019s prior strategy, which saw it rent out TPU capacity to customers from its own data centers. It\u2019s also yet another strike at AI chip king Nvidia (NVDA<\/a>).<\/p>\n

Microsoft and Meta are on the flip side of the AI equation.<\/p>\n

For the quarter, Microsoft said its Azure and other cloud services revenue increased 40% year over year.<\/a> It also noted that its cloud backlog climbed 99% year over year to $627 billion, though the majority of that is from OpenAI. The company also said it will continue to face supply constraints through 2026.<\/p>\n

But investors didn\u2019t like what they heard from CEO Satya Nadella and company, sending Microsoft\u2019s stock lower in Thursday trade.<\/p>\n

And while Meta announced that its ad impressions<\/a> across its app family increased 19% and that the price per ad climbed 12%, investors couldn\u2019t move past one important number: the company\u2019s capital expenditures.<\/p>\n","protected":false},"excerpt":{"rendered":"Amazon (AMZN), Google (GOOG, GOOGL), Meta (META), and Microsoft (MSFT) reported their earnings after the bell on Wednesday,…\n","protected":false},"author":2,"featured_media":22761,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[449,1405,13866,8,13867,3244,9,7],"class_list":{"0":"post-22760","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-top-stories","8":"tag-amazon","9":"tag-google","10":"tag-google-cloud-platform","11":"tag-headlines","12":"tag-keybanc-capital-markets","13":"tag-microsoft","14":"tag-news","15":"tag-top-stories"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@news\/116495237963891789","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/news\/wp-json\/wp\/v2\/posts\/22760","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/news\/wp-json\/wp\/v2\/comments?post=22760"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/news\/wp-json\/wp\/v2\/posts\/22760\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/news\/wp-json\/wp\/v2\/media\/22761"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/news\/wp-json\/wp\/v2\/media?parent=22760"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/news\/wp-json\/wp\/v2\/categories?post=22760"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/news\/wp-json\/wp\/v2\/tags?post=22760"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}