The daily business briefing: July 26, 2023

Alphabet says search business remains strong, the Fed wraps up meeting expected to end with another rate hike, and more

The Google search logo on a large sign on a stage
Google Search hasn't suffered from competition with newly AI-powered rival Microsoft Bing
(Image credit: Smith Collection / Gado / Getty Images)

1. Alphabet shares rise as Google Search weathers Bing challenge

Alphabet's shares jumped nearly 7% in pre-market trading on Wednesday after the Google parent said its internet search business was strong despite ad market uncertainty. The company said Google Search hadn't suffered from competition with newly AI-powered rival Microsoft Bing. Alphabet shares have gained 39% this year as it generated enthusiasm with its push into artificial intelligence. Microsoft shares fell 4% in pre-market trading after the software giant posted slowing growth in its Azure cloud-services business, overshadowing optimism about its AI tools. "While Microsoft is better positioned than other cloud providers to monetize new AI investments, we think it can take a few quarters for that growth to kick in," said Bloomberg Intelligence analyst Anurag Rana.

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Harold Maass, The Week US

Harold Maass is a contributing editor at The Week. He has been writing for The Week since the 2001 debut of the U.S. print edition and served as editor of TheWeek.com when it launched in 2008. Harold started his career as a newspaper reporter in South Florida and Haiti. He has previously worked for a variety of news outlets, including The Miami Herald, ABC News and Fox News, and for several years wrote a daily roundup of financial news for The Week and Yahoo Finance.