Wade Bush: Microsoft Corporation (MSFT.US) and other three major cloud giants have strong demand for AI, and third-quarter tech financial reports will exceed expectations.

Investment bank Wedbush Securities stated that the artificial intelligence and cloud computing services of Microsoft Corporation (MSFT.US), Alphabet (GOOGL.US), and Amazon.com, Inc. (AMZN.US) are experiencing "very strong" corporate demand. The company's analyst, led by Dan Ives, pointed out in a client report, "Based on field research, this quarter the AI enterprise demand for cloud computing giants Microsoft Corporation, Alphabet, and Amazon.com, Inc. is very strong. We believe that the tech stocks will lead a strong third-quarter earnings season led by large tech companies. Although some investors still have doubts about valuation and the pace of tech spending, we believe that Wall Street is underestimating the scale of AI spending trajectory. We expect the third-quarter tech earnings to once again validate this trend, with initial capital expenditure forecasts for 2026 poised to double." Based on this, the institution predicts that AI technology and related application spending by enterprises and government departments will reach approximately $3 trillion over the next three years. The report also predicts that tech stocks may rise by over 7% before the end of the year, and quarterly performance will show investors that the AI spending wave is still in its early stages. The recent collaboration between OpenAI and NVIDIA Corporation and AMD is the best evidence of this. The analyst added, "We believe that OpenAI's latest investment in NVIDIA Corporation and AMD confirms the capacity expansion and demand driving that is happening on the enterprise side, which will bring about the second, third, and even fourth waves of opportunities in the AI revolution. Our tech winners on the IVES AI 30 list are confirming this trend." Microsoft Corporation, Amazon.com, Inc., and Alphabet are all planning to release quarterly earnings reports in the coming weeks.