Microsoft says Google running 'shadow campaigns' as Big Tech legal feud heats up

Published On Oct 31, 2024, 4:00 AM

Microsoft has accused Google of running covert campaigns to undermine its cloud business. This heated legal dispute revolves around cloud licensing agreements, with Google alleging these are anti-competitive. Microsoft maintains that these agreements protect its intellectual property in cloud services. Both companies are intensively competing for cloud market share as they expand their respective operations in cloud computing and artificial intelligence, with Google reporting significant growth in its cloud revenue.

Stock Forecasts

Given the intensifying competition between Microsoft and Google, particularly in the cloud computing sector, investors might want to consider the implications this legal feud may have on both companies' stock performance. While Microsoft's earnings have shown strong growth, Google's recent revenue increases in its cloud service suggest its competitiveness is improving.

Google's strong growth in the cloud sector and its aggressive positioning could imply a long-term positive outlook despite the current feud with Microsoft. However, the ongoing legal challenges could create short-term volatility in its stock price.

Investors might find opportunities in tech ETFs that have significant holdings in Microsoft and Google, as the industry as a whole continues to innovate and expand amidst these disputes. ETFs such as the Invesco QQQ Trust or the Technology Select Sector SPDR Fund provide diversified exposure to these companies.

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