The Frontier

Alex Wilhelm reports cloud capex surges continue, with Google Cloud revenue up 63%, AWS growth hitting 28% - its best in 15 quarters - and Microsoft, Amazon, and Meta all increasing planned spending for 2025.

Big Tech cloud earnings showed explosive AI-driven growth: AWS revenue was up 28% YoY, Microsoft Azure grew 40% YoY, and Google Cloud beat estimates with 63% YoY growth, triggering a record market cap jump.

Microsoft and OpenAI restructured their deal, granting Microsoft non-revenue-share access to OpenAI's models for five more years and removing the AGI clause. OpenAI is now free to sell models on AWS and Google Cloud.

Google Cloud unveiled its eighth generation of TPUs (8T for training, 8I for inference), offering three times faster training performance and 80% better performance per dollar.