Core Insights - Nvidia announced a $2 billion investment in Synopsys as part of a broader partnership, marking one of the largest AI-related deals this year, with expectations of increased global spending on AI in the coming years [1][12] - Global annual AI spending is projected to reach $375 billion by the end of this year and exceed $3 trillion annually by 2030, according to UBS [1] Major AI Deals - OpenAI, SoftBank, and Oracle are collaborating on a new company called "Stargate," with plans to invest up to $500 billion in AI infrastructure in the U.S. [3] - OpenAI signed a contract with Oracle for $300 billion in computing power over the next five years [4] - Nvidia is investing $100 billion in OpenAI, which will utilize Nvidia's systems for AI model training [4] - Amazon plans to invest up to $50 billion to enhance AI infrastructure for U.S. government clients [5] - Anthropic announced a $50 billion investment in AI infrastructure, creating jobs in Texas and New York [6] - Oracle will purchase $40 billion worth of Nvidia's AI chips for OpenAI's data center [6] - OpenAI and Amazon's partnership is valued at $38 billion, involving cloud computing services and Nvidia processors [7] - Oracle disclosed a $30 billion cloud services agreement with OpenAI [8] - Anthropic will acquire $30 billion in cloud computing capacity from Microsoft [8] - Google plans to invest $25 billion in data centers and AI infrastructure over the next two years [9] - CoreWeave's partnership with OpenAI is valued at approximately $22.4 billion [9] - Oracle confirmed a $20 billion cloud-computing deal with Meta for AI model training [10] - Nvidia's agreement with CoreWeave for cloud services is valued at $6.3 billion [11] - The Energy Department partnered with AMD for a $1 billion project to develop AI-powered supercomputers [13]

Group 1 - Proactive provides fast, accessible, informative, and actionable business and finance news content to a global investment audience [2] - The news team covers medium and small-cap markets, as well as blue-chip companies, commodities, and broader investment stories [3] - Proactive has bureaus and studios in key finance and investing hubs including London, New York, Toronto, Vancouver, Sydney, and Perth [2] Group 2 - The company is focused on sectors such as biotech and pharma, mining and natural resources, battery metals, oil and gas, crypto, and emerging digital and EV technologies [3] - Proactive adopts technology to enhance workflows and improve content production [4] - All content published by Proactive is edited and authored by humans, ensuring adherence to best practices in content production and search engine optimization [5]

Core Insights - Amazon.com has not garnered the same level of artificial intelligence hype as its peers in the "Magnificent Seven" tech group this year, leading to investor skepticism regarding its cloud-computing business [1] Company Analysis - Investors are questioning the growth potential of Amazon's cloud-computing segment amid the rising interest in artificial intelligence [1]

GMI Cloud, a graphics processing unit-as-a-Service provider and Nvidia (NASDAQ:NVDA) Cloud Partner, announced on Nov. 17 that it will open a $500 million AI factory in Taiwan. The facility will serve as critical infrastructure for the region, allowing enterprises to train and deploy artificial intelligence models at massive scale. Once operational, the site can be expected to handle nearly 2 million tokens every second. The announcement positions GMI Cloud alongside Google, Amazon (NASDAQ:AMZN), and Micro ...

Core Insights - Amazon's cloud computing division, AWS, is set to showcase its advancements in artificial intelligence at the annual re:Invent conference, with a new service called AWS Interconnect aimed at improving connectivity between cloud service providers [2][4] - Analysts have raised Amazon's stock price target to $305, citing AWS's rapid expansion and increased capacity to meet AI-related demand [5][6] - AWS plans to double its capacity by 2027, which could lead to significant revenue growth, with projections suggesting a 14% to 22% upside in AWS revenue for 2026 and 2027 [6] Company Developments - Amazon's re:Invent conference is a critical platform for the company to demonstrate its competitive edge in the cloud market, especially against rivals like Microsoft and Google [6][7] - The new AWS Interconnect service is designed to simplify the process of connecting multiple cloud providers, addressing challenges faced by organizations [3][4] - AWS has recently experienced its best sales growth since 2022, indicating a strong recovery and potential for future growth [7] Market Performance - Amazon's stock is currently trading at $233.89, showing a year-to-date increase of approximately 6% [8][9] - The stock experienced a rally following stronger-than-expected Q3 results but faced volatility due to broader market trends affecting AI-related stocks [9] - Amazon holds a high IBD Composite Rating of 90 out of 99, reflecting its strong fundamentals and technical metrics [10]

Core Insights - Amazon is under pressure to demonstrate the effectiveness of its significant investments in artificial intelligence (AI) during the AWS re:Invent event, especially as competitors like Microsoft and Google are gaining traction in the cloud market [1] Group 1: Company Performance - Amazon's AWS division is facing a critical challenge to showcase its AI capabilities and innovations [1] - The competition from Microsoft and Google is intensifying, which may impact Amazon's market share in the cloud sector [1] Group 2: Industry Trends - The cloud computing industry is becoming increasingly competitive, with major players like Microsoft and Google making significant advancements [1] - AI investments are becoming a key differentiator in the cloud market, influencing customer choices and service offerings [1]

Core Viewpoint - The upcoming quarterly report for the company is highly anticipated, with expectations of a slight decrease in EPS but continued revenue growth, albeit at a slower pace compared to previous quarters [1][2][3][4]. Financial Expectations - EPS is expected to be 79 cents, down from $1 in the same quarter last year and $1.16 in the previous quarter [2][3]. - Revenue is projected at approximately $591.2 million, indicating a year-over-year growth of about 12%, but a deceleration from over 22% growth recorded in the same quarter last year [3][4]. Revenue Performance - The company has a strong track record of exceeding revenue expectations, having beaten estimates by at least 5% for the past two years [3]. - The Atlas cloud database segment, which constitutes about 74% of total revenue, is a key focus, with some analysts expressing concerns about potential growth pressures [5]. Analyst Sentiment - Despite a lowered price target from Bank of America to $300 from $470, the overall analyst community remains bullish, with no ratings in the underperform or sell categories [5][6][7]. - The average price target among analysts is around $371, indicating a generally positive outlook [6]. Market Volatility - A significant price movement of at least 13% is anticipated following the earnings report, suggesting potential volatility in the stock [6]. - The current trading price is approximately $327, which is below the revised price target, indicating a cautious market sentiment [5][6].

Amazon and Google have teamed to help cloud service providers connect with each other.By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions .Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required.The tech giants’ cloud units on Monday (Dec. 1) announced a new, jointly enginee ...

Retail Sector - Black Friday retail sales reached a record $11.8 billion in online spending, an increase of 11.8% year-over-year, with expectations for Cyber Monday to surpass this figure at $14.2 billion [2][4] - Macy's is expected to report a quarterly loss of 14 cents per share, a significant decline of 450% compared to the previous year [4] - Analysts are optimistic about retail performance, noting a potential shift in consumer spending dynamics and the impact of credit card debt on future sales [16][19] Technology Sector - Salesforce is set to announce its Q3 results, with expectations of solid growth and steady demand, although profitability may see only minor changes [6] - The acquisition of Informatica is projected to boost Salesforce's revenue by approximately $1.7 billion over the next year, but increased spending on AI products may affect profit margins [7] - Crowdstrike's Q3 results are anticipated to benefit from heightened demand for cybersecurity products due to rising global threat incidents [5] Cryptocurrency Market - Bitcoin has experienced a significant decline, trading below $87,000, with a drop of over 5% recently, reflecting a broader risk-off sentiment among investors [9][10] - The slowdown in inflows into Bitcoin exchange-traded funds and a downgrade of the USDT stablecoin's stability rating have contributed to the negative sentiment in the crypto market [10][11] - The People's Bank of China's warning about the risks associated with virtual currencies has further exacerbated the selloff in cryptocurrencies [11] Economic Indicators - The Fed's preferred inflation gauge, the Personal Consumption Expenditures (PCE), is expected to remain steady at 0.3% for total PCE and 2% for core PCE on a month-over-month basis [8] - Auto sales data for November is anticipated to show a slight increase to 15.4 million, indicating stable consumer demand for new vehicles [8] Market Outlook - Predictions for the S&P 500 in 2026 range from 7,500 to 8,000 points, with expectations of robust earnings and growing valuations, although concerns about inflation and the job market persist [53][55] - The healthcare sector is seeing increased inflows as investors shift away from large-cap tech, with strong performance noted in drug and medical device companies [40][41]

Core Viewpoint - SoftBank's founder Masayoshi Son expressed reluctance in selling the company's entire Nvidia stake, indicating that the decision was emotionally driven by the need for cash to invest in AI opportunities [1][2]. Group 1: Financial Decisions and Implications - SoftBank sold its Nvidia stake for approximately $5.83 billion, which surprised investors and raised concerns about potential overvaluation in AI-related stocks [2]. - The company's stock has declined nearly 40% in U.S. trading since late October, reflecting investor anxiety regarding the scale of SoftBank's AI investments [3]. Group 2: AI Sector Outlook - Son countered claims of a bubble in the AI sector, asserting that the economic impact of advanced AI systems will justify the significant investments being made [3]. - Despite the optimism, concerns have been raised by short-seller Jim Chanos regarding the sustainability of business models in the AI cloud computing space, highlighting that many AI companies are currently loss-making [4][5]. Group 3: Investment Focus - Much of SoftBank's AI spending is directed towards ambitious hardware and infrastructure projects, including the "Stargate" data-center initiative and in-house chip design through Ampere Computing, which require substantial capital investments before yielding returns [4].