Microsoft Gets Another Leg Up on Google in AI Race

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Microsoft Gets Another Leg Up on Google in AI Race
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Google’s cloud business slows and weighs on earnings, while Microsoft’s Azure shakes off slump

Big tech’s two early movers on artificial intelligence both still have a way to go before the much-hyped technology starts generating significant business. But if their latest quarterly results are any indication, it may be Microsoft’s game to lose.

Microsoft and Google-parent Alphabet both saw improvements to their core businesses during the September quarter according to results posted by both companies late Tuesday. Google’s advertising revenue grew 9% year-over-year to $59.6 billion during the quarter, beating Wall Street’s expectations and up notably from the 3% growth reported for the June period. That was helped by a notable pickup in YouTube’s advertising revenue, which jumped 12% for its quickest pace in nearly two years.

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