AI spending is no longer just lifting microchip stocks. It is now showing up across the cloud and software side, too. Alphabet (GOOG) (GOOGL) Cloud posted a 63% revenue increase in its latest quarter, while Amazon's (AMZN) AWS grew 28%. Hence, companies are spending real money on the infrastructure needed to run AI at scale. As a result, money is flowing back into cloud infrastructure and networking stocks that had long been treated like slow yet steady names.
That shift is a big reason Akamai Technologies (AKAM) is getting fresh attention. On May 7, with its first-quarter results, the company said a major U.S.-based AI customer had agreed to spend $1.8 billion over seven years on its Cloud Infrastructure Services.
