By Deborah Mary Sophia

Feb 5 (Reuters) - The pressure is on Amazon.com to provide on lofty expectations for cloud computing in its fourth-quarter outcomes on Thursday, after Microsoft and Google's lackluster reports jolted financier faith in Big Tech's billion-dollar financial investments in AI.

Shares of significant tech companies surged in the past 2 years on the belief that enormous datacenter needs for artificial-intelligence innovations would power investment for king-wifi.win several years.

But that was before Chinese start-up DeepSeek said it had actually attained AI advancements at a portion of the expense, precipitating a selloff in technology stocks that some state was overdue.

Still, Amazon might be better positioned than rivals to capitalize on cheaper AI, experts state, due to its massive cloud service and lower exposure to expensive large-language designs that power apps like ChatGPT.

Amazon Web Services, the world's largest cloud companies, is anticipated to post its greatest earnings increase in eight quarters at 19.3%, according to information assembled by LSEG.

But Microsoft and Meta were both forced to protect their AI costs strategies last week, and shares of Google-parent Alphabet slumped 8% on Wednesday after it said it would be investing more on capex than experts expected.

"Microsoft and Google outcomes have put even more of a microscope on Amazon's cloud growth," said Dave Wagner, portfolio manager at Aptus Capital Advisors, which holds shares in all 3 innovation business.

"But if Amazon can squash it on their cloud numbers, the marketplace's going to absolutely enjoy that report."

The company was the first big cloud supplier to embrace DeepSeek's AI designs last month and has said its capital costs, mainly on AI, would be more than the $75 billion it approximated for 2024.

Slowing development at Microsoft Azure and disgaeawiki.info Google Cloud, the second- and third-biggest cloud players, has actually stimulated some caution from experts about AWS' performance.

"Microsoft said it was capability constrained, Google said it was capacity constrained. More than likely, Amazon is going to state it may have been capability constrained also and that's why its growth rate isn't quite as much as what the market might have anticipated," said Bob O'Donnell, chief analyst at TECHnalysis Research.

Some analysts see the weakness at competitors as a sign that Amazon might have caught up in the AI race through efforts consisting of doubling its investment in Anthropic and offering a large choice of AI designs on its cloud platform.

"We actually believe that AWS is regaining share. It had been growing a lot slower than Microsoft Azure and Google Cloud for an amount of time, however our company believe that as Amazon has captured up on its AI offering, it might have less of a deceleration than Azure and Google Cloud," D.A. Davidson analyst Gil Luria said.

The company has maintained a higher appraisal than a few of its competitors, with an existing forward price-to-earnings ratio of almost 39. P/E is 29 and Alphabet's 22.4, [classicrock.awardspace.biz](http://classicrock.awardspace.biz/index.php?PHPSESSID=d9af35a7f06dffbd5ec07606768a88d6&action=profile