Rothschild Downgrades Amazon, Microsoft: AI Costs Higher Than Revenue

Rothschild and Company Redburn downgrades Amazon and Microsoft from buy to neutral, citing concerns over the high cost of AI development and its potential impact on cloud computing services. The firm believes AWS is better positioned than Azure, but both companies need to show sustained growth and cost reduction to regain optimism.The Daily News Now! — Every city. Every story. AI-powered. Hosted on Acast. See acast.com/privacy for more information.