2024-08-06 05:19:00 ET
Most artificial intelligence (AI) development happens in the cloud, with the help of tech giants like Microsoft (NASDAQ: MSFT) and Amazon (NASDAQ: AMZN) . Microsoft Azure and Amazon Web Services (AWS) operate centralized data centers filled with chips from leading suppliers like Nvidia , and they rent the computing power to developers who use it to create AI applications.
Plus, developers can access ready-made large language models on Azure and AWS, including those from leading AI start-ups like OpenAI and Anthropic , to accelerate their progress.
AWS is the largest provider of cloud services and infrastructure in the world, followed by Azure in second place. However, Azure grew its revenue by 29% in the most recent quarter (ended June 30), with eight percentage points attributed to AI alone. AWS only grew its revenue by 19% during the same period, and the gap, while narrowing, has been a consistent theme:
For further details see:
Microsoft Is Catching Amazon in 1 Critical Area of the Artificial Intelligence (AI) Race