Four of the largest U.S. technology companies reported earnings today and showed higher spending on AI amid rising demand and competition, according to Bloomberg News.
Meta raised its full-year capital spending outlook to between $125 billion and $145 billion, well above analyst expectations, as it continues heavy investment in AI infrastructure. Its shares fell 4.4% in after-hours trading.
Alphabet beat estimates on both Q1 revenue and profit, reporting $94.7 billion in first-quarter revenue excluding partner payouts, ahead of the $91.6 billion analysts had expected.
Amazon saw its cloud division post its fastest growth in more than three years, driven in part by demand from AI firms such as Anthropic and OpenAI. However, first-quarter capital expenditures rose to $44.2 billion, exceeding forecasts.
Microsoft reported strong cloud performance, with Azure Q3 revenue rising 39%, slightly above analyst estimates, reflecting sustained demand for AI services.