Microsoft's Azure business will provide cloud computing services to artificial intelligence software maker C3.ai under an expanded partnership announced Tuesday. AI stock popped on the news.
The companies announced the partnership targeting enterprise customers at Microsoft's Ignite cloud computing conference.
"This strategic alliance accelerates the adoption of enterprise AI, benefiting customers with broadly available enterprise AI application software to achieve rapid time-to-value in supply chain optimization, production optimization, predictive maintenance, government efficiency, ESG goal attainment, and energy management," said C3.ai Chief Executive Thomas Siebel, in a news release.
On the stock market today, AI stock jumped nearly 25% to 32.48. With the gain, AI stock has advanced 9% in 2024. C3.ai has lagged Palantir stock, which has vaulted 256% in 2024.
AI Stock: Earnings Due Dec. 9
Third quarter earnings for C3.ai stock are due Dec. 9.
C3.ai has told analysts it expects revenue growth to reaccelerate as more AI pilot projects ramp up into commercial production.
Early this year, C3.ai backed off its target to turn profitable on an adjusted basis amid growing investments in artificial intelligence. Also, C3.ai is transitioning to consumption priced services, pressuring profit margins in the short term.
Also, C3.ai stock had a Relative Strength Rating of 34 out of a best-possible 99 heading into the earnings report, according to IBD Stock Checkup.
Meanwhile, C3.ai stock is one of many AI names to watch.
Follow Reinhardt Krause on Twitter @reinhardtk_tech for updates on artificial intelligence, cybersecurity and cloud computing.
