Amazon's Cloud Soars: Paving the Way for a Robust Tech Domination

Amazon shares soared over 11% following strong growth in its cloud division and a promising sales outlook. Amazon Web Services reported a 20% revenue increase, reassuring investors of the tech giant's position in the competitive AI sector. Amazon overtakes Tesla and Apple in year-to-date gains.

Amazon's shares experienced a significant surge of over 11% in early Friday trading, driven by robust growth in its cloud division and a promising sales forecast. This development reassured stakeholders that the tech giant remains competitive in the AI sector.

Amazon Web Services, the central hub for the company's recent AI investments, reported a remarkable 20% revenue increase in the third quarter. Although competitors like Microsoft Azure and Google Cloud posted higher revenue gains, AWS's substantial scale amplifies its impact.

The company's retail and advertising arms also showed strong performances, contributing to Amazon surpassing Apple and Tesla in year-to-date gains. Its cloud success and strategic growth in other sectors have restored market confidence, with analysts lifting their stock price targets.

(With inputs from agencies.)