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Microsoft shares slide on dour cloud outlook, Meta rises on revenue beat

  • Microsoft is focusing on its Azure cloud business as it faces doubts about AI spending, with a quarterly revenue forecast due soon.
  • Azure growth has slowed for two consecutive quarters, but is expected to grow by 31.8% in the second quarter, according to Visible Alpha.
  • Investor sentiment has turned negative due to concerns about gross margins and AI monetization, with stock prices up less than 8% in the past year.
  • Microsoft's relationship with OpenAI has changed, as OpenAI will no longer use Azure exclusively, impacting future growth projections.
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  • 43% of the sources are Center
42% Center
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