According to the Zhitong Finance and Economics APP, Wall Street has once again ignited enthusiasm for artificial intelligence recently, with investors returning to this field. The excellent quarterly results released by Microsoft (MSFT.US) and Google (GOOGL.US), as well as the market's positive response to Rubrik (RBRK.US)’s initial public offering, signify renewed attention to the development of artificial intelligence. These developments have reignited confidence in the growth potential brought by large technology companies' significant investments in advanced technological tools.
In particular, on Friday, Google's stock price surged, breaking through the $2 trillion market value mark for the first time. On the same day, Microsoft's stock price also rose by 1.8%, with a market value slightly above $3 trillion.
Yung-Yu Ma, Chief Investment Officer of BMO Wealth Management in the United States, stated, &#34;The outlook for artificial intelligence investment remains optimistic.&#34;
It is understood that Microsoft has indicated that its Azure cloud division's revenue grew by 31%, with artificial intelligence services contributing 7 percentage points to the growth. Google's cloud revenue increased by 28% year-on-year, with a continuous contribution from artificial intelligence.
Rishi Jaluria, an analyst at RBC Capital Markets, commented, &#34;Google and Microsoft's performance demonstrates a real demand for artificial intelligence, not just hype.&#34;
The strong performance of these tech giants, coupled with Elon Musk's Tesla shifting towards an artificial intelligence strategy, has driven the S&amp;P 500 and Nasdaq indices to record their best single-week performance of the year.
Nicole Inui of HSBC stated, &#34;They are becoming profitable. We believe this industry will continue to be strong in the second half of this year.&#34;
Michael Hartnett of Bank of America predicted in a report to clients that the growth of large tech stocks will continue to lead the market until the threat of an economic downturn becomes a reality.
Furthermore, the potential of artificial intelligence is not limited to just Microsoft and Google, which are often seen as industry leaders. Brad Erickson, an internet analyst at RBC Capital Markets, described the stock price drop after Meta (META.US)’s earnings as an &#34;overreaction,&#34; believing that artificial intelligence will be a key force driving the company's transformation.
It is worth mentioning that as Amazon (AMZN.US) and Apple (AAPL.US) are about to release their important financial reports, the tech industry's focus is once again on these two companies, with their performance expected to be a key test of whether the current high valuations in the artificial intelligence technology sector are reasonable

MSFT

AMZN

AAPL

GOOGL

GOOG

Microsoft and Google have released excellent quarterly results, driving the development of the artificial intelligence field. The strong performance of these tech giants has led to a rise in the stock market, while the market is also confident in the growth potential of large tech companies investing heavily in advanced technologies. The potential of artificial intelligence is not limited to Microsoft and Google, as other companies such as Amazon and Apple may also continue to shine. Investors are returning to the artificial intelligence sector, and the outlook for artificial intelligence investment remains optimistic

Zhitong

Microsoft

Amazon

Apple

Alphabet

Alphabet - C

Microsoft and Google's strong financial reports ignite the AI craze. Can Amazon and Apple continue to shine?