Microsoft Reports Over $36.6 Billion Quarterly Profit Amidst Employee Layoffs, While Google's Parent Alphabet Sees 25% Profit Decline
Summary
Microsoft posted a quarterly profit of more than $36.6 billion as cloud computing and AI businesses drove revenue growth, even after announcing employee layoffs. Alphabet’s quarterly profit fell 25% as investors watched closely for returns on heavy AI investment.
Key Points
- Microsoft reported quarterly profit of over $36.6 billion and revenue rose 19% to $92.3 billion in the three months ending in September.
- Cloud computing and AI-related businesses fueled Microsoft's growth, while the company also announced voluntary retirement plans for eligible employees in several countries.
- Alphabet's quarterly net profit fell 25% year over year, and its share price dropped 9.75% after the earnings report.
- Investors are focused on whether large AI infrastructure spending will deliver expected future returns.
