#头条创作挑战赛#
Quick guide
Today's morning briefing overview highlights the capex of big tech companies during the earnings season, particularly investments in artificial intelligence. Companies such as Microsoft, Amazon, Meta, and Google are seen as optimistic indicators of AI's potential, however, competitive pressures have forced these companies to go all out to maintain their market position. According to Bloomberg, Nvidia receives more than 40% of its revenue from these tech giants, with Microsoft being its largest customer, contributing 19% of total revenue. Nvidia's capital expenditure accounts for 45% of Microsoft's capex, while Google's is only 15%. Despite some skepticism raised by the lack of income, investors seem to be optimistic about the future. In conclusion, the dynamics of the technology industry and its financial flows play an important role in driving the market.
An overview of today's morning briefing
This is the key takeaway from today's morning briefing, and you can subscribe to get it delivered to your inbox every morning. The newsletter consists of several sections, such as:
- Today's chart
- Our observations
- Our reading
- Economic data releases and earnings reports
During this earnings season, investors are particularly focused on the capital expenditures of big tech companies. These expenditures serve as an indication of how optimistic Microsoft, Amazon, Meta and Google are about the potential of AI. However, as Julie · pointed out on Thursday, the situation is more complicated; These companies have to go all out to secure their position in the market. Supply chain dynamics suggest that resources accumulated in the mountains end up flowing into rivers and lakes.
Financial flows of big tech companies
As our chart this week shows, big tech companies continue to generate significant revenues, and Nvidia acts as a significant reservoir. According to Bloomberg estimates, more than 40% of Nvidia's revenue comes from well-known companies in the "Big Seven," including Microsoft, Meta, Google and Amazon, along with quarterly reports. Of these, Microsoft contributed the lion's share, with its expenses accounting for 19% of Nvidia's total revenue, making it the company's largest customer. That's almost double what Meta spends, and far more than Google and Amazon's contributions.
On Microsoft's side, Bloomberg data suggests that Nvidia accounts for 45% of its capital spending, while chipmakers only receive 15% of Google's spending. In the highly competitive AI space, this data reminds us that chipmakers are the first to benefit, long before hyperscalers can provide investors with clearer insights into when their AI investments are generating revenue. However, this chart has played a significant role in driving the market, especially during the tech earnings season.
Investor sentiment and future prospects
At the moment, despite growing suspicions, the lack of income does not cause significant concern among investors. It's still hard to believe that Microsoft, with a market cap of trillions, has no insight into the opportunities ahead. Ethan · Wolfe Mann is a senior editor at Yahoo Finance, where he is responsible for communications. You can follow him on platform X @ewolffmann.
For the latest tech news that could impact the stock market, click here. Plus, stay up-to-date with the latest financial and business news from Yahoo Finance.