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What the Microsoft-Amazon Partnership Could Mean for Google in AI

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Oct. 26 2017, Updated 9:38 a.m. ET

Google made the maximum AI acquisitions last year

The partnership between Microsoft (MSFT) and Amazon.com (AMZN) highlights the growing influence of AI (artificial intelligence) in the overall tech space, wherein two strong rivals in the cloud space have come together to extend their reaches in AI.

By partnering with Amazon, Microsoft is also trying to compete with Google (GOOG) in AI. As the presentation below by Statista and CB Insights shows, Google has acquired 11 AI startups since 2012—more than any other company. Apple (AAPL) and Facebook (FB) have made seven and five acquisitions, respectively, so far in this place.

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AI viewed as key growth driver of cloud-computing platforms

Notably, Amazon’s AWS (Amazon Web Services), Google Cloud, and Microsoft Azure all include enterprise AI solutions such as natural language processing and translation and image recognition.

The inclusion of AI into their key cloud computing platforms indicates that these three companies see AI as a key growth driver of their cloud offerings.

Meanwhile, through its Watson platform, IBM (IBM) is clearly trying to sell itself as a prominent AI player. Facebook and Apple have yet to offer their own AI platforms, though Facebook does open source some of the technologies it has created.

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