Image credit: Chris Feige
Gossip (for nerds)
- AWS fell short on cloud revenue for the third straight quarter despite a 17% increase in revenue (less than the increase from the quarter before).
- Quarterly earnings for Microsoft came with good news—earnings rose 13% and profits rose 18%, which Nadella attributed to cloud growth. This news led stock to rise by 6%, which does nothing for me when I buy a can of peaches for $5. Microsoft reduced its spending on AI by $1B this past quarter. (Probably to buy canned peaches.) But keep in mind, the tariffs haven’t hit Microsoft where it hurts—yet. That’s coming.
- That’s why AWS is prepping sales and technical teams to answer customer concerns about how the tariffs will affect prices, data privacy, and foreign business relations. Read a summary here, though it is dangerously optimistic and fluffy. The tech leaders quoted at the end aren’t buying the “everything will be fine” sentiment.
- A year after hiring AI bigshot Mustafa Suleyman to lead Microsoft’s AI department, Copilot adoption is lagging behind ChatGPT.
- CIOs are in the mood to negotiate contracts with cloud providers following AWS price revisions and Google Cloud discounts. Cloud companies are willing to do this if it means becoming an organization’s vendor of choice for AI integration, which locks in a long-term commitment.
- The article is paywalled, but word is that AWS customers are dissatisfied with the AWS service for accessing models like Anthropic and Bedrock, and they’ve started looking for alternatives. Maybe AWS pulled an Amazon Prime, where you pay for one-day shipping and free movies and then get neither?
- Half of Microsoft customers would move to AWS if the former’s licensing costs weren’t so restrictive, says AWS to the UK government.
- The “frontier firm,” according to Microsoft, is the new…regular firm. It’s structured around on-demand intelligence and powered by “hybrid” teams of humans paired with agents. We shall become “agent bosses” that manage AI agents, not people. And the people who were once managed, well, good luck to them!
Wheelin’ and dealin’
- AWS and academic publisher Wiley have partnered to create an open-source AI agent that allows researchers to perform full-text searches across life sciences literature, reducing research tasks from days to minutes by integrating Wiley’s authoritative content with technology from Amazon Bedrock Agents.
- Bill Gates and Jeff Bezos are backing a mining startup in the Democratic Republic of Congo. As you may recall, the mining industry is known for its reliance on child labor and dangerous, exploitative worker practices. Apparently, the startup will use AI to identify untapped minerals—like the “massive lithium deposit [it’s] eyeing.” The startup hails from the NIMBY paradise of Berkeley, CA.
- But why settle for a hill of corporate evil when you can have a mountain of it? Microsoft is preparing to host Elon Musk’s Grok AI model in the company’s Azure AI Foundry, and will potentially infuse it across Microsoft apps and services.
- Industrial IoT company Litmus is partnering with Microsoft to deliver edge-to-cloud solutions that take real-time data from connected industrial devices.
- Nasdaq and AWS are creating a blueprint for moving stock exchanges to cloud infrastructure, starting with three international stock exchanges.
- ClearScale will work with AWS as part of the Small Business Acceleration Initiative program to help small and medium businesses access cloud tools, new technologies, and AI guidance for digital transformations.
- Clario and AWS are collaborating on the partner’s generative AI platform for processing clinical trial documents and data, hoping to accelerate drug development timelines.
World domination
- Microsoft is making a big commitment to its European presence, with an expansion plan for 16 datacenters, doubling the current capacity. There are obvious political undertones in Microsoft’s formal statement.
- Activists blockaded an AWS datacenter in Quebec, protesting Amazon’s layoffs of over 4,000 workers and demanding the company return public funds.
New stuff
- GitLab Duo with Amazon Q is now generally available. GitLab’s integration with Amazon Q Developer connects AI agents for application developers with GitLab’s generative AI tools to support the entire software development cycle.
- Microsoft has brought People Skills to Copilot for HR departments. It acts as a skills-inference and management agent that lets companies identify and monitor the skills of their employees.
- IBM has launched a specialized Microsoft Practice within its consulting arm. It will help businesses with personalized transformations involving Copilot, Azure OpenAI, Azure Cloud, Fabric, and Sentinel.
- Anthropic has formed a new team to recruit AWS customers that want to use its AI products. The team will help customers accelerate adoption through scalable programs.
- Deloitte has launched AI Advantage for CFOs, a comprehensive AI-powered finance platform built in collaboration with AWS and Anthropic, which combines Finance Automation Agents and AI finance analysis capabilities to transform finance operations across industries.
- Meta’s Llama 4 models—Scout 17B and Maverick 17B—are now available on AWS via Amazon Bedrock and Amazon SageMaker JumpStart. They offer advanced multimodal capabilities, including image and text processing, and efficient performance through a mixture-of-experts architecture.
- AWS has launched Mistral AI’s Pixtral Large as a fully managed serverless model in Amazon Bedrock, offering advanced visual and linguistic capabilities across multiple regions.
- Amazon Nova Sonic is a new foundation model in Amazon Bedrock that unifies speech understanding and generation to help developers create natural, human-like voice conversations in AI applications with better performance and lower costs.
- AWS released its Well-Architected Generative AI Lens, providing architectural best practices and a framework for evaluating generative AI workloads built on AWS, covering model selection, prompt engineering, customization, and integration.
- The ‘Move to AI’ Modernization Pathway is a new program from AWS that will help organizations systematically identify and implement AI opportunities within their existing application portfolios.
Ma’am, I’m going to have to call security
Hackers stole thousands of Amazon S3 keys as part of a (honestly brilliant) ransomware campaign. Some users are STILL unaware that their keys have been compromised, but it doesn’t matter because it’s “virtually impossible” to undo the damage. The tactics represent a “‘significant escalation in cloud ransomware tactics.’” Read the article to learn how they did it.