The tech world is buzzing with AI advancements and their impact on company performance. Amazon's profits jumped 35% thanks to its AI investments, leading to an $18.2 billion profit in the second quarter, with sales up 13% to $167.7 billion. Amazon Web Services (AWS) saw a 17.5% increase, reaching $30.9 billion, and the company plans to spend up to $100 billion on AI for AWS. Similarly, Microsoft's market value hit $4 trillion due to AI and cloud growth, with annual sales up 15% to $281.7 billion and Azure revenue exceeding $75 billion, a 34% increase. Microsoft plans to invest $80 billion in AI infrastructure in 2025. Meta also saw a 22% revenue increase driven by AI investments, while Apple is exploring AI strategies, with analysts suggesting a potential $40 billion acquisition of Perplexity. Jim Cramer suggests buying Amazon stock and isn't overly concerned about Apple's AI approach, noting Apple might partner to enhance its AI capabilities. OpenAI secured $8.3 billion in funding, valuing the company at $300 billion, with annual recurring revenue over $13 billion and aiming for $20 billion by year-end. Dragoneer Investment Group led the funding round, and early investors saw smaller shares due to high demand. Other companies are also leveraging AI, such as Saphyre, which received $70 million to expand its AI trading platform used by over 75 financial institutions managing $3 trillion in assets. URFX.io is experiencing trader growth with instant funding and AI trading, while Kinaxis, an AI-powered supply chain solutions company, saw its revenue increase by 11% to $132.8 million and net profit more than double to $15.9 million. BlackBerry, now focused on AI for safety and security, reported a profit of $1.9 million in the first quarter of 2026, with its QNX software in over 235 million vehicles. The AI market is projected to reach $2.53 trillion to $3 trillion, with one company planning to spend $72 billion on AI in 2025.
Key Takeaways
- Amazon's profits increased by 35% due to AI investments, with AWS sales up 17.5%.
- Amazon plans to invest up to $100 billion in AI for AWS.
- Microsoft's market value reached $4 trillion, driven by AI and cloud growth, with Azure revenue up 34%.
- Microsoft plans to invest $80 billion in AI infrastructure and development in 2025.
- OpenAI raised $8.3 billion in funding, valuing the company at $300 billion, with annual recurring revenue over $13 billion.
- Meta's revenue increased by 22% due to AI investments.
- Analysts suggest Apple should acquire Perplexity for $40 billion to enhance its AI capabilities.
- Saphyre received $70 million to expand its AI trading platform, used by over 75 financial institutions managing $3 trillion in assets.
- Kinaxis, an AI-powered supply chain solutions company, saw its revenue increase by 11% to $132.8 million.
- BlackBerry, now focused on AI for safety and security, reported a profit of $1.9 million in the first quarter of 2026.
Amazon's profits jump 35% driven by AI investments
Amazon's profits increased by 35% because its investments in artificial intelligence are paying off. The company made $18.2 billion in the second quarter. Sales also went up by 13% to $167.7 billion. Amazon Web Services (AWS), which is the company's cloud computing part, saw a 17.5% increase in sales to $30.9 billion. Amazon plans to spend up to $100 billion on AI this year for AWS.
Amazon's AI investments boost profits by 35%
Amazon's profits rose 35% because of big investments in artificial intelligence. The company's net profit for the second quarter was US$18.2 billion. Sales increased by 13% to US$167.7 billion. Amazon Web Services (AWS) had a 17.5% sales increase, reaching US$30.9 billion. Amazon plans to spend up to US$100 billion this year on AI for AWS.
AI boosts tech earnings amid economic challenges
Tech companies like Amazon, Apple, Meta, and Microsoft are making more money because of artificial intelligence (AI). Amazon's profits jumped 35% due to AI investments. Microsoft's Azure cloud platform is growing because of AI. Meta's revenue increased by 22% as it invests in AI. Apple's earnings are up, but the company is still working on its AI strategy.
OpenAI raises $8.3 billion in new funding round
OpenAI has raised $8.3 billion in a new funding round, valuing the company at $300 billion. Dragoneer Investment Group was the biggest investor, committing $2.8 billion. New investors include Blackstone, TPG, and T. Rowe Price. OpenAI's annual recurring revenue has increased to $13 billion and is expected to reach $20 billion by the end of the year. The company is also negotiating with Microsoft about becoming a for-profit company.
OpenAI raises $8.3B, early investors get smaller shares
OpenAI has raised $8.3 billion in a new funding round led by Dragoneer Investment Group. The AI company is aiming to raise $40 billion by the end of the year. Because demand was so high, some early investors received smaller shares. New investors include Blackstone and TPG. OpenAI's annual recurring revenue is now over $13 billion.
URFX sees trader growth with instant funding, AI trading
URFX.io, a trading firm that uses AI, is growing quickly because it offers instant funding and AI-powered trading. URFX allows traders to start trading live simulation accounts right away, without evaluations or upfront fees. URFX is also the only firm that gives U.S. traders access to MetaTrader 4 and 5 through a special partnership. Traders are seeing success with URFX's funding program, which provides fast payouts.
Will Apple buy Perplexity for $40 billion to boost AI
Analysts suggest Apple should buy the AI search platform Perplexity for $40 billion. Apple is facing challenges in AI and needs to invest to keep up with other companies. Perplexity is currently valued at about $14 billion. Apple has a lot of cash and could afford the deal. Tim Cook, Apple's CEO, has suggested the company might make bigger investments in AI.
Saphyre gets $70M to expand AI trading platform
Saphyre, a company that uses AI to improve trading, has received $70 million in funding from FTV Capital. This money will help Saphyre grow in other countries and develop its products. Saphyre's platform helps financial companies automate tasks and trade more efficiently. Over 75 financial institutions use Saphyre, managing over $3 trillion in assets.
Cramer says buy Amazon stock, less worried about Apple AI
Jim Cramer says that Amazon's stock drop is a good buying opportunity, even though its Amazon Web Services (AWS) cloud business is growing slower than Microsoft's Azure and Google Cloud. He also said he is not too worried about Apple's AI strategy. Cramer believes Apple is open to partnering with another company to improve its AI. Cramer's Charitable Trust owns stock in both Amazon and Apple.
BlackBerry a contrarian AI play says Motley Fool
BlackBerry, once known for its phones, has become an AI company focused on safety and security. The company's QNX software is used in over 235 million vehicles. BlackBerry had a profit of $1.9 million in the first quarter of 2026. The company is working on real-world AI integration. BlackBerry's stock is considered a contrarian AI play because it is undervalued.
Top AI stocks to buy now
Big tech companies are investing heavily in artificial intelligence (AI). One company plans to spend $72 billion in 2025 on AI. The AI market is expected to reach $2.53 trillion to $3 trillion. Some of the top AI stocks to buy now include Lam Research Corporation, Snowflake Inc., and Uber Technologies, Inc.
Microsoft hits $4 trillion market value amid AI, cloud growth
Microsoft's market value reached $4 trillion, making it the second company to do so after Nvidia. This is due to strong earnings, high demand for cloud services, and its push into artificial intelligence. Microsoft's annual sales were $281.7 billion, a 15% increase. Azure, its cloud service, made over $75 billion in revenue, up 34%. Microsoft plans to invest $80 billion in AI infrastructure and development in 2025.
Kinaxis stock set to double again says Motley Fool
Kinaxis, an AI-powered supply chain solutions company, is experiencing strong growth. The company's Maestro platform helps businesses plan and react quickly to supply chain problems. In the first quarter of 2025, Kinaxis's total revenue increased by 11% to US$132.8 million. The company's net profit more than doubled to US$15.9 million. Kinaxis is using AI upgrades to solve supply chain issues for companies like Pfizer and General Motors.
Sources
- Amazon profits surge 35% as AI investments drive growth
- 'AI will change': Amazon's bold investment strategy boosts earnings
- US tech titan earnings rise on AI as economy roils
- OpenAI Raises Another Funding Deal, From Dragoneer, Blackstone and More
- OpenAI's latest funding round was so popular early investors were reportedly miffed about getting smaller allocations to make room for new partners
- URFX.io Reports Surge in Trader Growth as Demand Rises for Instant Funding and AI-Powered Trading
- Apple's $40 Billion AI Gamble: Will Perplexity Be the Game-Changer?
- Saphyre lands $70m to scale AI trading workflow platform
- Cramer says buy Amazon's big stock drop, don't worry as much about Apple AI
- This Stock Is My Ultimate Contrarian AI Play
- 12 Unstoppable Artificial Intelligence (AI) Stocks to Buy Right Now
- Microsoft follows Nvidia's lead, surpasses $4 trillion market capitalization on soaring demand for cloud services, multi-front AI endeavors
- I’m Doubling Down on This AI Stock Before it Doubles Again