Amazon shares sink as spending on AI overshadows growth in cloud unit

Amazon on Thursday reported third-quarter revenue of $201.9 billion, slightly missing expectations. Its profit was $20.7 billion, which also fell short of expectations and was down from the same period a year ago. Amazon said the decline was due to gains it recorded a year earlier from its investment in AI company Anthropic. Amazon Web Services, the cloud unit, saw third-quarter sales rise 39.3% to $45.98 billion, topping Wall Street targets. The results showed that demand for Amazon’s cloud services, particularly those tied to AI, remains high.

Source: Fortune Crypto