Microsoft and Google showed investors that heavy artificial intelligence investment can pay off with rising revenue, allaying concerns raised a day earlier by Meta, which said its expensive foray into AI was not immediately paying off.
Shares in Google-parent Alphabet were up over 11% in Frankfurt on Friday, while Microsoft shares rose nearly 5%.
That contrasts with a more than 10% slide in Meta (META.O) shares on Thursday, after the social media firm signalled its costly bet on AI could take years to pay off.
Microsoft (MSFT.O) beat Wall Street estimates for third-quarter revenue and profit on Thursday, driven by gains from adoption of artificial intelligence across its cloud services.
Alphabet (GOOGL.O) announced its first-ever dividend on Thursday and a $70 billion stock buyback, after beating expectations for the quarter in sales, profit and advertising.
