Tech Giant Posts Record Quarter on Cloud Demand
The technology group reported record quarterly revenue on Wednesday, comfortably beating analyst estimates as enterprise customers resumed spending and demand for its cloud and AI services accelerated.
Executives credited a rebound in corporate IT budgets and strong uptake of newer AI offerings, which the company has been bundling into its existing products. Margins improved as well, easing concerns that the heavy investment in data centres would weigh on profits.
Shares rose in after-hours trading. Analysts cautioned that the pace of AI-driven growth would be the key question for the rest of the year.
