Alphabet Cloud Backlog Hits $514B on AI Infrastructure Demand; AI Stocks Surge After Hours

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According to Alphabet's earnings call on Wednesday (July 23), the company's cloud business backlog reached $514 billion, up from $460 billion last quarter, driven primarily by strong demand for AI infrastructure and solutions. The company also announced plans to expand use of third-party compute capacity in the third quarter. Following the announcement, AI infrastructure-related stocks rallied after hours, with compute providers CoreWeave up 3.7% and Nebius up 5.4%, while semiconductor and optical communication stocks also gained, including Micron up 2.9% and Lumentum up 3.4%.
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