JP Morgan analysts remain bullish on Amazon.com Inc (NASDAQ:AMZN) and expect the company's Amazon Web Services (AWS) growth to accelerate during the second half of the year, driven by core cloud growth and AI led by Anthropic and Project Rainier. In a note to clients on Tuesday, the analysts also see Amazon benefitting from better-than-expected consumer spending, while viewing its valuation as being attractive on a price-to-earnings and free cash flow basis.
Google-owner Alphabet is expected to make capital expenditures of $82.2 billion this year, up from $52.5 billion last year, amid the AI boom.
Google is making a $15 billion investment to set up a 1-gigawatt data center and AI hub in India, even as the Indian government pushes for reduced reliance on U.S. tech giants.
Google said Tuesday it will invest $15 billion in India over the next five years, as it announced a giant data center and artificial intelligence base in the country.
Google will spend $15 billion over the next five years to build a vast artificial intelligence data centre in India's southern state of Andhra Pradesh, marking its largest-ever investment in the country. The new facility, to be built in the port city of Visakhapatnam, will start with one gigawatt of capacity and eventually expand to several times that size.
The deal — to be signed Tuesday — comes after "a year of intense discussions and relentless effort," and "is just the beginning," said Minister for Human Resources Development of Andhra Pradesh. Tech companies have been heavily investing in data centers to meet the computational needs of the AI boom.
Google's investment in South Carolina will go toward scaling up its Berkeley County data center campus, supporting construction, energy affordability and workforce training programs.
Alphabet Inc (NASDAQ:GOOG) third-quarter update later this month is shaping up to be another test of how fast the tech giant can turn its artificial intelligence ambitions into hard cash. Citi expects the numbers on October 29 to beat Wall Street's forecasts, helped by steady advertising growth and strong demand for Google Cloud services.
Alphabet NASDAQ: GOOGL has reasserted its dominance in the global technology landscape, emerging from a period of competitive and regulatory turbulence stronger than ever.
Alphabet-owned Google on Monday said it would be "extremely difficult" for Australia to enforce a law prohibiting people younger than 16 from using social media, warning that the government's initiative would not make children safer online.
The tech giant is trying to have it both ways in regard to how its search business will fare.
The United Kingdom's Competition and Markets Authority (CMA) on Friday designated Google with a special status in the market for online search that would enable the regulator to enforce stricter regulations.