Tech News Summary:
- New York stock market rose on Friday supported by the gains in technology stocks. S&P 500 index increased by 1%, Dow Jones industrial average rose by 0.8%, and Nasdaq went up by 1.7%.
- Marvell Technology expects its AI income to double in fiscal year 2024 compared to the previous year, while Nvidia gave a big forecast for upcoming AI-related sales. However, critics warn that AI could be a potential bubble.
- Despite positive developments in the markets, there are still concerns about inflation pressure and ongoing negotiations in Washington to raise the US government’s debt ceiling, which could have a potential calamitous default.
Innovative technologies continue to pave the way for more gains on Wall Street, with major tech companies leading the charge. In a stunning turn of events, Apple, Amazon, Facebook, and Google’s parent company Alphabet all reported better than expected quarterly earnings results in the same week.
Apple saw a record-breaking quarter, with revenue up 54% year-over-year. The firm credits the launch of the iPhone 12 for the increase in sales, along with growth in their services and wearables categories. Amazon’s earnings also exceeded expectations, with net sales up 44% year-over-year and the company citing strong demand for its cloud computing services.
Facebook saw a boost in advertising revenue, with overall revenue up 48% year-over-year. The company’s earnings call also included an announcement of plans for a new product, the Oculus Air Link, which will allow users to wirelessly connect their Oculus Quest 2 to their PC.
Alphabet similarly reported strong earnings, with revenue up 34% year-over-year, driven by growth in their advertising and cloud computing businesses.
The success of these tech giants has led to a significant rally in the stock market, with the NASDAQ reaching an all-time high. This bodes well for investors who have heavily invested in these companies, and also for the tech industry as a whole.
As the world continues to digitize, it’s clear that technology will play an increasingly important role in driving economic growth. With these recent earnings reports, it seems that major tech companies are well positioned to lead the way.