Latest AI News

Alphabet Inc. has raised its 2025 capital expenditure forecast by $10 billion to $85 billion, a 62% increase from last year, focusing on AI infrastructure and cloud computing. The company reported strong Q2 results with net income up 19% to $28.2 billion and revenue growing 14% to $96.4 billion, exceeding analyst expectations. Google Cloud generated $13.6 billion in revenue, surpassing Wall Street forecasts. CEO Sundar Pichai emphasized that increased spending is driven by growing demand for AI infrastructure in cloud services, positioning Alphabet to compete with rivals like OpenAI, Microsoft, and Meta in the AI market.

IBM reported mixed Q2 results, with overall revenue beating expectations at $16.98 billion but software sales missing estimates. While the company showed momentum in AI initiatives and mainframe demand, the software shortfall overshadowed these gains, causing shares to drop 5.4% after hours. Despite growth in consulting and investments in Watsonx AI, analysts maintained cautious outlooks amid client spending delays and macroeconomic uncertainty.

Alphabet reported impressive Q2 2025 results with revenue of $96.4 billion (up 14%) and net income of $28.2 billion (up 19%). Google Cloud revenue surged 32% to $13.6 billion, while YouTube ad revenue reached $9.79 billion. The company is increasing capital spending to $85 billion for 2025 to support AI infrastructure and growth initiatives. CEO Pichai emphasized AI innovations driving performance across products.

IBM exceeded Q2 2025 expectations with $15.69B revenue (2.6% YoY growth) and $2.20 EPS. Growth was driven by AI offerings and consulting revival, with software sales up 10% to $7.39B and consulting revenue rising 3% to $5.31B. Their refreshed mainframe products boosted hardware sales while Watsonx AI tools helped clients modernize operations. IBM maintained its $12B free cash flow guidance for 2025 and approved a $1.68 quarterly dividend.