Keystone-SDA
After Google, Meta and Microsoft, Amazon has in turn widely exceeded market expectations with high rise, despite investment unprecedented in artificial intelligence (AI).
(Keystone-ATS) The American online commerce giant announced Thursday that it has released $ 18.2 billion in net profit in the second quarter, a jump of 35% over one year, which the group notably allocated to its AI tools for consumers and businesses.
Its turnover of 167.7 billion (+13%) also emerged much above the 162 billion expected by analysts.
“Our advances in the area of AI continue to improve customer experience, speed of innovation, operational efficiency and growth of our activity, and I am enthusiastic for the future,” said Director General Andy Jassy, quoted in the results press release.
He indicated in May that Amazon had not observed any slowdown in purchases on his e-commerce platform in the first quarter, despite the trade wars of the United States.
The company had nevertheless warned that customs duties could weigh on its results in the spring, hence prudent forecasts.
For Sky Canaves, analyst at Emarketer, the impact of American trade policies is still limited to Amazon sales in view of the “suspensions of surcharges” and “an interior consumption that remained solid during the period”.
“Recent trade tensions have even offered Amazon an opportunity to increase its market share in online trade in the United States,” she added, referring to Shein and Temu, the Chinese electronic commerce giants who have lost the exemption from customs duties enjoyed by small parcels sent from China.
But Amazon’s forecasts for its operational profit, a key indicator of profitability, for the current quarter disappointed Wall Street. Its action lost more than 2% during electronic exchanges after the fence of Wall Street.
“Growth engine”
AWS, the “Cloud” branch (remote computer) of the Seattle group (North West), has seen its income increase by 17.5% to 30.9 billion dollars
Its operational profit (key profitability indicator) emerged at 10.2 billion, more than half of the group total, 19.2 billion.
“AWS remains the growth engine for the future, and all eyes are turned to feedback on investments, in a context of increase in expenditure in artificial intelligence infrastructure and increasing pressure on margins,” said Sky Canaves.
Amazon had warned at the beginning of the year that it intended to invest more than $ 100 billion in the “cloud” and AI this year, a figure comparable to that of its competitors in technology.
All are engaged in a rapid race for generative AI tools such as Chatgpt, for individuals and businesses, with an AI so -called “general” or “superintent”, with cognitive capacities superior to those of humans.
Amazon recently added generative AI features to its Internet sales platform and Alexa, its voice assistant integrated on speakers and other devices.
In July, the company announced the acquisition of Bee, a company that manufactures a watch bracelet and an application to record all user’s conversations, including when he talks to himself.
The integrated generative AI then makes it possible to extract summaries, information and ideas, on demand.