Microsoft Corp (MSFT) Under FTC Scrutiny Amid AI-Driven Azure Growth - InvestingChannel

Microsoft Corp (MSFT) Under FTC Scrutiny Amid AI-Driven Azure Growth

We recently published a list of 15 AI News That Broke The Internet This Week. In this article, we are going to take a look at where Microsoft Corporation (NASDAQ:MSFT) stands against other AI news that broke the internet this week.

AI trends are sweeping markets globally. On November 14, TikTok, the popular social media application owned by Chinese firm ByteDance, announced the availability of Symphony Creative Studios, a generative AI video creation platform it has developed, to all advertisers. According to a report by news agency Reuters, the launch is part of a larger plan by the Chinese tech giant to boost its ad business. A press release from the company indicates that some AI features included in the new platform are turning text inputs into videos, generating previews that can be edited to finalize the content, remixing, digital avatar creation, as well as translation and more.

Read more about these developments by accessing 10 Best AI Data Center Stocks and 10 Buzzing AI Stocks According to Goldman Sachs.

Meanwhile, Foxconn, the Taiwan-based company that is one of the largest contract manufacturers of electronics in the world, announced that it expects robust growth in its artificial intelligence server business next year and will increase investment in several countries amid mounting trade tensions between the US and China. Per a report by Reuters, Young Liu, the chairman of the firm, said after the quarterly earnings results that his firm would be watching to see what policies Donald Trump implements as US president. He added that Foxconn plants in Wisconsin and Texas have seen steady growth in sales on strong demand for AI servers, and the outlook for US operations was positive.

Read more about these developments by accessing 30 Most Important AI Stocks According to BlackRock and Beyond the Tech Giants: 35 Non-Tech AI Opportunities.

For this article, we selected AI stocks by combing through news articles, stock analysis, and press releases. These stocks are also popular among hedge funds. Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).

Microsoft Corp (MSFT) Under FTC Scrutiny Amid AI-Driven Azure Growth A development team working together to create the next version of Windows.

Microsoft Corporation (NASDAQ:MSFT)

Market Capitalization: $3.1 Trillion

Microsoft Corporation (NASDAQ:MSFT) is a Washington-based technology company. The integration of AI into the Azure cloud has served to bolster growth at the tech giant in recent months. However, on November 14, news publication Financial Times reported that authorities in the US were planning to launch a probe into Microsoft’s cloud computing business. Per the report, which quoted sources, the FTC would lead the probe and examine allegations that Microsoft is abusing its market power in productivity software by imposing punitive licensing terms to prevent customers from moving their data to competitors’ platforms.

Overall, MSFT ranks 2nd on our list of AI news that broke the internet this week. While we acknowledge the potential of MSFT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than MSFT but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock

Disclosure: None. This article is originally published at Insider Monkey.

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