Shares of technology companies rose after surprisingly strong earnings from one software giant.
Microsoft shares rose after the software maker forecast continued strength in sales of cloud-computing products, noting that brand-new business lines associated with generative Artificial Intelligence technology ChatGPT are already contributing to that growth.
Wall Street analysts said the swift emergence of the AI business as material to revenue was a promising sign for Microsoft.
In one blow to the company, the United Kingdom’s antitrust watchdog rejected Microsoft’s $75 billion deal to buy videogame maker Activision Blizzard. The Competition and Markets Authority said the deal poses a competitive threat to the U.K. gaming sector.
Alphabet shares fell, but not by as much as the broad market, after the Google parent logged strong first-quarter earnings.
Write to Rob Curran at rob.curran@dowjones.com
(END) Dow Jones Newswires
04-26-23 1724ET
