Emerging Players Taking on Cloud Computing Giants in the AI Arena

Key Points

• Amazon Web Services (AWS), Microsoft Azure, and Google Cloud are experiencing substantial growth, accumulating high profits.

• CoreWeave and Nebius are expanding rapidly at triple-digit rates, yet remain unprofitable.

Amazon Web Services (AWS), the largest cloud infrastructure service globally, reported a 28% revenue growth in Q1, contributing 59% to Amazon’s operating income. Microsoft Azure grew by 40% in its last quarter, while Google Cloud led with a 63% increase, partly due to sales of its proprietary AI chips, Tensor Processing Units (TPUs).

CoreWeave’s revenue surged by 112% year over year, and Nebius’s grew by an astounding 684%. Analysts predict continued high growth rates for both companies—CoreWeave’s revenue is expected to grow by 147% in 2026 and 97% in 2027, while Nebius could experience 551% growth in 2026 and 224% in 2027, despite currently operating at a loss.