Amazon's Cloud Business Encounters Fresh AI Rivals in Microsoft and Google
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Oct 24 2025
0mins
Should l Buy MSFT?
Source: Benzinga
AWS Outage and Competition: Amazon Web Services (AWS) experienced a significant 15-hour outage affecting numerous clients, while Google strengthened its position in AI by partnering with Anthropic, posing a direct challenge to AWS.
Market Share Decline: AWS's market share has decreased from nearly 50% in 2018 to 38% in 2024, indicating a perception that it is falling behind competitors like Google and Microsoft in the AI sector.
Analyst Insights on Growth: Analysts express optimism for Amazon's future, citing potential growth from new data center capacity and the success of its AI partner Anthropic, despite AWS lagging behind in corporate sales compared to Microsoft.
Stock Performance: As of the latest publication, Amazon's stock is up 0.28%, while Microsoft and Alphabet's stocks have also seen slight increases, reflecting ongoing competition in the tech industry.
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Analyst Views on MSFT
Wall Street analysts forecast MSFT stock price to rise
34 Analyst Rating
32 Buy
2 Hold
0 Sell
Strong Buy
Current: 369.370
Low
500.00
Averages
631.36
High
678.00
Current: 369.370
Low
500.00
Averages
631.36
High
678.00
About MSFT
Microsoft Corporation is a technology company that develops and supports software, services, devices, and solutions. Its Productivity and Business Processes segment consists of products and services in its portfolio of productivity, communication, and information services, spanning a variety of devices and platforms. It comprises Microsoft 365 Commercial products and cloud services; Microsoft 365 Consumer products and cloud services; LinkedIn, and Dynamics products and cloud services. The Intelligent Cloud segment consists of its public, private, and hybrid server products and cloud services. It comprises server products and cloud services, including Azure, and enterprise and partner services, including Enterprise Support Services. Its More Personal Computing segment primarily comprises Windows and Devices, including Windows OEM licensing; Gaming, including Xbox hardware and Xbox content; Search and news advertising, comprising Bing and Copilot, Microsoft News, and Microsoft Edge.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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See More
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- ETF Investment Strategy: Despite the Vanguard Information Technology ETF's 16.4% drop from its 2025 peak, its share price has decreased from $800 to $665, presenting an opportunity for long-term investors to buy at a discount.
- Diversified Risk Management: This ETF holds 318 stocks, with the top three holdings accounting for 44%, while the remaining assets are spread across various tech sectors, reducing single-stock risk and enhancing resilience against downturns.
- Long-Term Return Potential: Since its launch in 2004, the ETF has achieved a total return of approximately 1,550%, meaning a $5,000 investment would now be worth about $82,000, demonstrating the value and potential of long-term holding.
See More
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- ETF Investment Strategy: Despite the Vanguard Information Technology ETF's price dropping over 16% from approximately $801 in October 2025 to $665, I continue to invest, viewing the current price as an opportunity for long-term investment at a discount.
- Diversified Risk Management: The ETF holds 318 stocks, with the top three holdings (Nvidia, Apple, and Microsoft) accounting for 44% of assets, while the remainder is diversified across various tech sectors, reducing single-stock risk and enhancing portfolio stability.
- Long-Term Investment Returns: Since its inception in 2004, the Vanguard Information Technology ETF has achieved total returns of about 1,550%, meaning a $5,000 investment would now be worth approximately $82,000, highlighting the potential and value of maintaining a long-term investment approach amid market volatility.
See More
