Internet Services & Infrastructure

Snowflake raised its fiscal 2027 product revenue guidance to $6.07 billion, implying 36% year-over-year growth, up from its previous outlook of $5.84 billion and 31% growth. In the fiscal second quarter 2026, product revenues rose 37% to $1.49 billion and accounted for 96% of total revenues. Management said AI products contributed roughly half of the recent acceleration, with CoCo surpassing 9,100 accounts after adding more than 2,000 in the quarter and CoWork expanding to 5,800 accounts, up nearly 11% sequentially. The company ended the second quarter of fiscal 2027 with 14,554 total customers, up 32% year over year, including 828 customers generating more than $1 million in trailing 12-month product revenues, up 27%, and 65 customers above $10 million. Fiscal third-quarter product revenues are expected between $1.588 billion and $1.593 billion, indicating 37-38% growth, while the Zacks Consensus Estimate for fiscal 2027 earnings stands at $2.19 per share, up 11.16% over the past 30 days.

CoreWeave exited the second quarter of 2026 with $104.2 billion in revenue backlog, up 246% year over year, a figure that excludes more than $25 billion of net new customer commitments added in the early weeks of the third quarter. Management said more than half of the existing backlog was already tied to contracts where customer delivery had begun, and expects that proportion to exceed two-thirds of the second-quarter backlog by year-end. Quarterly revenues surged $2.6 billion, up 112% year over year, while adjusted operating income rose sequentially to $128 million, prompting the company to raise its 2026 revenue guidance to $12.4-$13.2 billion and adjusted operating income guidance to $960 million to $1.15 billion. CoreWeave also lifted its expected year-end annualized run-rate revenues to $18.5-$19.5 billion, citing the long-term nature and attractive margins of contracted backlog. Supporting that backlog is capital-intensive buildout: capex was $9.4 billion, construction in progress rose sequentially to $11.9 billion, operating expenses reached $2.6 billion including $165 million in stock-based compensation, and interest expense hit $640 million versus $267 million a year earlier, with interest expense expected to climb to $860-$940 million in the current quarter. At the end of the second quarter CoreWeave had 1.5 gigawatts of active power after adding nearly 500 megawatts during the quarter, plus 3.7 gigawatts of contracted power, which management said has since risen to 4.2 gigawatts toward a goal of at least 8 gigawatts by 2030, while competition intensifies from Nebius and Microsoft.

Snowflake Inc. is drawing heightened investor attention after Zacks Investment Research highlighted sharply rising earnings estimates for the data-warehousing company. For the current quarter, Snowflake is expected to post earnings of $0.60 per share, a change of +71.4% from the year-ago quarter, while the Zacks Consensus Estimate has moved +17.5% over the last 30 days. For the current fiscal year, the consensus earnings estimate of $2.19 points to a change of +75.2% from the prior year, and for the next fiscal year the consensus estimate of $2.84 indicates a change of +29.6%. On revenue, the consensus sales estimate for the current quarter of $1.64 billion indicates a year-over-year change of +35.5%, with current and next fiscal year estimates of $6.29 billion and $8 billion pointing to changes of +34.2% and +27.3%, respectively. In its last reported quarter, Snowflake posted revenues of $1.55 billion, a year-over-year change of +35.1%, and EPS of $0.62 versus $0.35 a year ago, beating the Zacks Consensus revenue estimate of $1.47 billion by +4.91% and the EPS estimate by +37.78%. Citing the size of the recent change in the consensus estimate along with three other earnings-related factors, Zacks rates Snowflake Zacks Rank #2 (Buy), though the stock carries a Zacks Value Style Score of F, indicating it trades at a premium to its peers.

Uber Technologies Inc. and WeRide, together with AVOMO, have secured Spain's first national permit covering level 4 autonomous passenger vehicles, making Madrid the fourth city in the Uber-WeRide partnership. The permit was issued by Spain's Directorate General of Traffic and allows WeRide to test its GXR vehicles and conduct roadmapping throughout Madrid ahead of a commercial launch planned for year-end, starting with 20 vehicles each supervised by an in-car specialist in high-demand areas of Greater Madrid. The Uber-WeRide partnership plans to reach 15 cities globally by 2030, part of an Uber asset-light AV strategy that spans more than 30 partnerships, with Uber expecting to commit over $10 billion across AV investments, infrastructure, and vehicle offtake over the coming years. That multi-partner bet is under strain: Uber and Waymo confirmed in late June that their Phoenix partnership had ended, Waymo is reportedly considering a broader exit, and the NHTSA is investigating Uber AV partner Avride after multiple crashes, while Tesla ramps up its own Cybercab fleet and Waymo has raised $16 billion to accelerate independent growth. Hedge fund ownership was broadly stable, with holders slipping from 153 at the end of Q1 2026 to 151 at the end of Q2 2026, and short interest stood at only 2.29% of float as of August 31, 2026.

Snowflake Inc. reported second-quarter fiscal 2027 results on September 2, 2026, for the period ended July 31, 2026, with revenue rising 35% to $1.55 billion against a $1.48 billion consensus and adjusted earnings of $0.62 per share versus the $0.45 analysts expected. Product revenue grew 37% to $1.49 billion, and management raised full-year product revenue guidance to $6.07 billion from $5.84 billion, sending shares up more than 20% in extended trading. Within 48 hours, eight firms raised their price targets, including Argus analyst Joseph Bonner to $450 from $300, Goldman Sachs to $436 from $300, JPMorgan to $426 from $285, Raymond James analyst Adam Tindle to $425 from $275, and RBC Capital to $440 from $372, with TD Cowen and Monness Crespi both moving to $450 and Truist to $425. Net revenue retention held at 126%, remaining performance obligations reached $9.00 billion on 30% growth, and the company added 692 net new customers, while CEO Sridhar Ramaswamy said AI products drove roughly half of the acceleration. The stock trades at 166.67 times forward earnings as of September 15, 2026, against Datadog at 76.92 and MongoDB at 62.89, after gaining more than 45% this year, even as the quarter produced a GAAP operating loss of $263.0 million, a negative 17.0% margin, and free cash flow of $83.8 million on a 5.4% margin.

Rackspace Technology shares climbed more than 6% after the company announced it is joining Nvidia's Cloud Partner Program, extending its push into sovereign and regulated AI infrastructure. Alongside the partnership, Rackspace introduced its Institutional Sovereign Pod, an architecture combining Nvidia's Blackwell technology with Palantir's Foundry and AIP platforms, and CEO Gajen Kandiah framed the effort as a matter of control over data, models and intelligence for organizations where governance, sovereignty and uptime are non-negotiable. The rally echoes a familiar pattern: shares jumped in May after a non-binding MOU with AMD, then collapsed 33.6% in a single day in July following a guidance cut and an at-the-market program allowing the sale of up to $250 million of shares. The company has not disclosed a customer contract or revenue commitment tied to the Nvidia deal, and its balance sheet still carries roughly $2.8 billion of debt, negative equity and negative free cash flow. Hedge fund ownership rose to 22 funds at the end of Q2 2026 from 8 funds at the end of Q1 2026, while short interest remained extremely high at 22.19% of float as of August 31, 2026.

CoreWeave deployed multi-rack NVIDIA Vera Rubin NVL72 clusters on CoreWeave Cloud on Wednesday, moving the architecture from validation toward broader availability. CoreWeave had already become the first cloud provider to bring up and validate NVIDIA's Vera Rubin NVL72, and in August it won a multi-year agreement with Hudson River Trading to build its next-generation AI research and model-development platform using Vera Rubin NVL72 and Spectrum-X Ethernet. NVIDIA says Rubin is in full production and is designed for training and inference. CoreWeave said AI products and services beyond GPUs, including storage, CPU, networking and software, exceeded $400 million of annual recurring revenue in the second quarter, while booked annual recurring revenue for managed inference rose from $1 million to more than $100 million within months of launch. Active power exceeded 1.5 gigawatts in the second quarter and contracted power reached about 4.2 gigawatts by Aug. 11, with CoreWeave targeting more than 1.85 gigawatts of active power by year-end 2026 and at least 8 gigawatts by 2030, against expected 2026 capital expenditures of $35-$39 billion and second-quarter net interest expense of $640 million.

Fastly reported quarterly revenue of $183 million, up 23% year over year, with security revenue climbing 43% and delivery services revenue rising 17%, CFO Rich Wong said at a Piper Sandler conference. Remaining performance obligations increased 38% year over year, and the current portion of RPO rose 44%, which Wong attributed to stronger customer commitments amid component shortages. Wong credited the security growth to an expanded portfolio that now spans five security products, up from a single web application firewall, and to improved sales execution under Scott Lovett, who joined as head of sales in mid-2024. Bot management and DDoS protection each posted triple-digit year-over-year growth, and net retention reached a four-year high of 117%. Fastly also said it will hold an investor day at Nasdaq MarketSite in New York to discuss a longer-term operating model and its outlook over the next three years, though it does not plan to provide fiscal 2027 guidance at the event.

Nebius Group notified customers of higher on-demand rental rates for a range of AI GPU capacity effective October 1, a rare same-week read-through on pricing power in AI compute that split the neocloud trade three ways. Nebius stock climbed 10% to $229.67 as the party setting the new price card, while IREN Limited rose 6% to $45.20 on the read-through that scarce GPU capacity can be re-rented at higher hourly rates. CoreWeave slipped 2% to $82.10, with the divergence attributed to concerns over how much of its capacity is already committed at older rates, how much debt sits against that capacity, and how fast free cash flow will turn. The Invesco QQQ Trust was up 1.62% to $716.12, while the Global X Data Center & Digital Infrastructure ETF trailed at up 1% to $27.60, a lag suggesting the diversified digital infrastructure basket is not capturing the neocloud repricing on its own. JPMorgan double-upgraded IREN to Overweight from Underweight on September 14, a call that predates this move by three sessions and serves as context rather than catalyst.

CoreWeave is expanding its capabilities for next-generation AI workloads with the deployment of multi-rack NVIDIA Vera Rubin NVL72 clusters on CoreWeave Cloud, alongside two new capabilities for its AI Object Storage platform: cross-region write acceleration and a lower-cost Archive tier. The multi-rack Vera Rubin NVL72 deployment allows hundreds of NVIDIA Rubin GPUs to operate as a single scale-out cluster, with each NVL72 rack combining 72 Rubin GPUs with 36 Vera CPUs, NVIDIA NVLink 6, ConnectX-9 SuperNICs and BlueField-4 DPUs, connected across racks using NVIDIA Spectrum-X Ethernet networking and automated through CoreWeave's Mission Control platform. CoreWeave says its Local Object Transport Accelerator caches data locally and can reduce latency by up to 8x compared with traditional storage-cluster reads while delivering up to 7 GB/s of throughput per GPU, while the new cross-region write capability lets customers write data locally as CoreWeave replicates it to another region in the background. The company faces intensifying competition in the AI cloud market from Microsoft and Nebius Group N.V., which plans to invest £1.7 billion in U.K. AI infrastructure and expects connected power capacity to reach roughly 800 MW to 1 GW by 2026 end. CoreWeave shares have gained 24.4% year to date against the Internet Software industry's fall of 0.6%, and the Zacks Consensus Estimate for CRWV's earnings for the current year has been revised downward over the past 60 days.

MongoDB executives said the company's self-managed Enterprise Advanced business is reaccelerating, with double-digit growth over each of the past three quarters, and now view it and the Atlas cloud platform as complementary "two growth engines." Chief Financial Officer Mike Berry said during a fireside chat that demand for deployment flexibility has risen over the past 12 to 18 months, driven by regulated industries, government customers, data requirements, cloud capacity constraints and economics, and that growth among large customers using both self-managed MongoDB and Atlas has exceeded the companywide average. Chief Product Officer Ben Cefalo said customers value the ability to build an application once and move it among cloud and on-premise environments, and that MongoDB recently made Search and Vector generally available for self-managed customers after developing those capabilities first in Atlas. Berry said the self-managed licensing model generally offers higher upfront profitability and may deliver higher gross margins over time, and that shared underlying technology limits incremental research and development needs. On AI, Cefalo cited investments in MCP Server capabilities, Voyage AI integration, auto-embedding and a LangChain partnership, while noting enterprise adoption of custom AI applications remains early as security, governance, privacy and regulatory concerns slow production deployments. For the current fiscal-year guidance discussed at the event, Berry said research and development spending is projected to rise about 30%, sales and marketing spending is expected to increase in the mid-teens and general and administrative spending by lower single digits.

CoreWeave shares rose about 3% Wednesday after the AI cloud provider brought Nvidia's multi-rack Vera Rubin NVL72 system online, connecting hundreds of next-generation Rubin GPUs into a single scale-out cluster. The milestone strengthens CoreWeave's pitch as one of the earliest cloud platforms able to commercialize Nvidia's newest AI hardware, an important differentiator as competition intensifies across AI infrastructure. The announcement builds on CoreWeave's June disclosure that it was the first AI cloud provider to bring a Vera Rubin NVL72 system online. A single NVL72 rack combines 72 Rubin GPUs with 36 Vera CPUs, and CoreWeave's multi-rack configuration links hundreds of accelerators using Nvidia's Spectrum-X Ethernet networking, allowing customers to treat a much larger pool of compute as one cluster. CoreWeave also introduced upgrades to its AI Object Storage platform, including cross-region write acceleration and a new Archive tier, with its Local Object Transport Accelerator able to reduce latency by as much as eight times through managed caching.

CoreWeave shares climbed about 3% on Wednesday trading after the AI cloud company said it had brought Nvidia's multi-rack Vera Rubin NVL72 platform online. The new deployment connects hundreds of Rubin GPUs into a unified computing cluster designed to support large-scale artificial intelligence workloads, building on CoreWeave's June launch of a single Vera Rubin NVL72 rack. CoreWeave said the expanded system combines multiple Vera Rubin racks into one scalable environment using Nvidia's Spectrum-X networking technology. A single Vera Rubin NVL72 rack includes 72 Rubin GPUs and 36 Vera CPUs, along with networking and data-processing hardware intended for AI applications. The company also introduced new capabilities for its AI Object Storage platform, including cross-region write acceleration and an archive storage tier, which CoreWeave said are designed to keep data closer to AI workloads and may reduce latency through managed caching across its Kubernetes-based infrastructure.

Twilio Inc. is expanding its AI customer wins, with Car Finance 247 signing a seven-figure deal to use its new conversation layer. The customer's AI assistant, Carla, has handled about 288,000 customer conversations, and customers who interacted with Carla moved to approved leads at roughly 1.6 times the rate of those who did not, contributing to a multi-million-pound annual revenue uplift for the customer. Twilio is also winning deals with companies such as Vozzi, Olo and Atlassian, showing demand beyond traditional messaging and voice. Twilio's second-quarter 2026 revenues rose 22% year over year to $1.50 billion, with organic growth of 17%, while non-GAAP operating income increased 29% to $284.6 million and free cash flow grew 34% to $352.6 million. Management raised its 2026 organic revenue growth forecast to 13%-13.5%, and the Zacks Consensus Estimate for 2026 revenues is currently pegged at $5.96 billion, indicating a 17.7% year-over-year increase.

CoreWeave announced the bring up of multi-rack NVIDIA Vera Rubin NVL72 on CoreWeave Cloud, putting hundreds of NVIDIA Rubin GPUs into a single scale-out cluster for agentic AI. A single NVIDIA Vera Rubin NVL72 rack pairs 72 Rubin GPUs with 36 Vera CPUs, NVIDIA NVLink 6, NVIDIA ConnectX-9 SuperNICs, and NVIDIA BlueField-4 DPUs, and CoreWeave unifies multiple such racks into one scale-out cluster using NVIDIA Spectrum-X Ethernet networking. Each Rubin GPU carries two NVIDIA ConnectX-9 SuperNICs providing 1.6 Tb/s of scale-out connectivity per GPU across multiplane, multirail paths, supporting roughly 128,000 GPUs per rail in a non-blocking fabric. The company also announced two new capabilities in CoreWeave AI Object Storage, cross-region write acceleration and a new Archive tier, with the cross-region feature letting jobs write locally while CoreWeave replicates data to another region in the background. CoreWeave said its AI Object Storage LOTA delivers reads at local NVMe speeds, reducing latency by 8x versus a traditional storage cluster and providing up to 7 GB/s of throughput per GPU. Chen Goldberg, executive vice president of product and engineering at CoreWeave, said the company was the first AI cloud provider to validate and bring up a Vera Rubin NVL72, and that multi-rack Vera Rubin connects hundreds of Rubin GPUs as a single scale-out cluster.

MARA Holdings, the largest publicly traded Bitcoin miner, has returned to its cryptocurrency accumulation strategy with the sudden purchase of 1,292 BTC worth about $100 million, according to on-chain data from Arkham Intelligence. The buy marks a resumption of the company's Bitcoin treasury buildout, which it had paused while pursuing an artificial intelligence expansion. The former Marathon Digital did not disclose the purchase in a separate filing, with the transaction identified through blockchain tracking by Arkham Intelligence. The acquisition adds roughly $100 million in Bitcoin to MARA's holdings.

MARA Holdings spent about US$100 million acquiring 1,292 Bitcoin through FalconX, deepening its balance sheet exposure to digital assets. The purchase comes as the stock has returned 22.17% over the past month but remains down 19.25% over 90 days, with a 1-year total shareholder return of negative 35.88% and a year-to-date gain of 13.42%. The most followed narrative on MARA Holdings pegs fair value at $18.13, well above the last close at $11.24, implying 38% undervaluation, a view tied to the company's expansion into AI infrastructure and power. A second valuation lens notes a price-to-sales ratio of 5.4x, rich against the US Software average of 3.9x and a fair ratio estimate of 1.5x. The story could break if Bitcoin mining economics weaken sharply or if high capital spending at new sites fails to generate timely cash returns.

Four major infrastructure vendors have now shipped standalone agent governance products at general availability, a rush that has itself become the signal that agent governance is decoupling from individual platforms to become a category of its own. Okta pushed furthest into new territory with its July 2026 product innovations, shipping Agent-to-Agent Connections at general availability to enable secure multi-agent workflows through temporary runtime tokens that enforce which agents may invoke which others, alongside the Agent Gateway, available as a research release, which sits between agents and the systems they access without requiring code changes. IBM's Think 2026 announcement positioned next-generation watsonx Orchestrate as an agentic control plane, introduced in June on AWS and IBM Cloud, offering runtime policy management, credential health monitoring, and an Agent Access overview across an organization's entire agent estate. Broadcom embedded governance directly into the compute fabric with AgentMinder, unveiled at VMware Explore on August 31 and shipping at general availability bundled into the VMware Private AI Cloud, treating agents as enterprise-grade identities bound to a declared mission, permitted intents, approved tools, and authorized resources. Dataiku made a different architectural bet, with Dataiku Agent Management scanning agents across nine platforms including Microsoft Copilot Studio, Salesforce Agentforce, AWS Bedrock, and Google Vertex to provide a cross-platform control tower for discovery, certification, and audit-readiness. The urgency tracks to two numbers: Menlo Ventures found that 76 percent of AI applications are purchased rather than built internally, and the Cloud Security Alliance reported in February that 84 percent of organizations doubt they could pass a compliance audit focused on agent behavior or access controls.

CoreWeave guided third-quarter adjusted operating income of $200 million to $260 million and said margins should reach the low teens in the fourth quarter, after second-quarter adjusted operating margin expanded to 5% from 1% in the prior quarter and adjusted operating income rose to $128 million from $21 million. For full-year 2026, the company raised its adjusted operating income guidance to $960 million-$1.15 billion and its revenue guidance to $12.4 billion-$13.2 billion, and lifted its expected year-end annualized run-rate revenue to $18.5 billion-$19.5 billion. CoreWeave said contracts signed in the second quarter carried contribution margins 5 to 10 percentage points higher than those added in recent quarters, with pricing and margins for Blackwell and Vera Rubin SKUs setting new highs and margin-accretive businesses such as storage, CPU, networking and software exceeding $400 million in ARR in the second quarter. Management attributed the improvement to operating leverage as the installed base grows, and said a significant portion of the recent 5-10% margin improvement is coming from the Vera Rubin SKU. Shares of CoreWeave have gained 15.9% year to date against the Internet Software industry's growth of 3.1%, and the stock currently carries a Zacks Rank #3 (Hold).

Snowflake reported second-quarter fiscal 2027 results showing higher sales of US$1,546.79 million and a reduced net loss of US$191.72 million, while also completing a US$3,697.59 million share repurchase program that retired 25,378,000 shares. Management attributed the stronger performance to growing adoption of its AI offerings, including CoCo and CoWork, and raised full-year fiscal 2027 product revenue and operating margin guidance, signaling increased confidence in demand for AI-driven workloads. The company's narrative projects $11.7 billion revenue and $172.1 million earnings by 2029, requiring 29.1% yearly revenue growth and about a $1.3 billion earnings increase from -$1.1 billion today. The most optimistic analysts had already assumed revenue could reach about US$11.8 billion by 2029, so the acceleration in AI workloads could either support that upside case or expose how dependent the story is on aggressive assumptions. Sayari's decision to rebuild its Commercial World Model on Snowflake using CoCo was cited as a concrete example of how AI workloads can deepen usage on the platform.

Chinese autonomous driving technology company Pony.ai unveiled a fully electric truck equipped with Level 4 autonomous driving capabilities, allowing driverless operation under specific conditions, on the 14th at the IAA Transportation commercial vehicle trade fair that opened in Hanover, Germany. The vehicle announced was developed jointly with Chinese state-owned automaker GAC Group, and mass production will begin in the second half of this year. The company also revealed that it is in discussions with European governments and potential customers regarding road testing in Europe. Vice President Hua Xin, who heads the robotruck business, said, "We have already approached multiple ports and several governments about this issue," noting that the company is focusing on markets with high labor costs or facing severe labor shortages, and added, "Europe is definitely an important market for robotrucks." Pony.ai currently operates about 200 Level 4 autonomous trucks in China, some of which run fully driverless, but few countries in Europe have established systems or regulations permitting test runs of autonomous vehicles. In a statement, the company said it plans to expand its robotruck business into European and Middle Eastern markets within the next two years, and it is also advancing its robotaxi business outside China, conducting test operations in multiple European cities including Zagreb, the capital of Croatia.

Pony.ai unveiled a new Level 4 autonomous heavy-duty truck developed with GAC Commercial Vehicle at IAA TRANSPORTATION 2026 in Hannover, Germany. The vehicle is one model in Pony.ai's Gen-4 Robotruck lineup and is built on GAC Commercial Vehicle's T9 battery-electric heavy-duty truck platform, with volume production scheduled to begin later this year for deployment in long-haul freight, dedicated-route logistics and port transportation. It pairs Pony.ai's Gen-4 L4 autonomous trucking system with GAC Commercial Vehicle's fully redundant drive-by-wire chassis, and carries a fully automotive-grade autonomous driving kit with nine lidars, three millimeter-wave radars and 13 cameras for 360-degree sensing coverage. The bill-of-materials cost of that kit has been reduced by 70% versus the previous generation, while transportation costs per ton-kilometer are expected to fall by 30%, and Pony.ai's energy-efficiency algorithms combined with the T9's 0.4 Cd drag coefficient are expected to cut energy consumption by 10% compared with conventional trucks. The launch extends the companies' partnership from Robotaxi into Robotruck, following a strategic cooperation agreement signed on April 16 that led to vehicle testing and validation within five months, and Pony.ai plans to enter European and Middle Eastern markets over the next two years.

Fastly CFO Rich Wong said the edge cloud provider has accelerated revenue growth, expanded margins and generated positive free cash flow as management reshaped operating processes during his first 13 months at the company. Speaking at Citi's TMT Conference, Wong said Fastly reported $183 million in revenue in its most recent quarter, up 23.3% year over year, with delivery revenue up 17%, security revenue up 43% and the company's other segment, which includes compute and observability, up 69%. Fastly posted record gross margin of 65.8% in the quarter along with about 15% operating margin, and has now delivered four consecutive profitable quarters and six straight quarters of positive free cash flow. Network services, the delivery business, represented 73% of quarterly revenue, security accounted for about 23%, and the remainder came from the other category, with security and other revenue combined at nearly $50 million and growing more than 50% year over year, while compute was about $7 million and remains the fastest-growing product area. Wong also said remaining performance obligations grew 38% year over year and current remaining performance obligations rose 44%, net retention rate was 117% in the most recent quarter, and Fastly expects capital expenditures equal to 10% to 12% of revenue, an approximately 40% to 45% year-over-year increase in spending.

Snowflake raised its fiscal 2027 product revenue target to $6.07 billion from $5.84 billion after second-quarter product revenue rose 37% to $1.49 billion, with CEO Sridhar Ramaswamy saying AI products drove roughly half of that growth acceleration. UBS analyst Karl Keirstead said the figures, alongside rapid growth at Palantir and Databricks, offered compelling proof of robust enterprise AI adoption. The beat lifted enterprise software broadly, with ServiceNow, Atlassian, Adobe, Intuit and Salesforce all up 3.5% to 6% the next day and the iShares Expanded Tech-Software ETF up 3%. Salesforce's own move came a week earlier, when its second-quarter fiscal 2027 results showed revenue of $11.35 billion, up 11% year over year, current remaining performance obligations up 14% to $33.5 billion and adjusted EPS of $5.90 against a $3.27 consensus, though $2.61 billion in net gains on strategic investments added $2.53 per share to non-GAAP EPS. Salesforce also announced Claudeforce with Anthropic, a partnership that initially brings Salesforce data, workflows and business logic into Claude through a plugin with 37 prebuilt sales skills, with further integrations planned across Claude, Salesforce and Slack.

Snowflake reported second-quarter fiscal 2027 results on September 2 showing product revenue of $1.49 billion, up 37% year over year, the third straight quarter its growth rate climbed rather than faded, while total revenue reached $1.55 billion, a 35% increase from the same period last year. Net revenue retention came in at 126%, the company added 692 net new customers, a 32% jump in the pace of additions, and customers spending more than $1 million annually grew 27% to 828. Its CoCo AI product is now used by more than 9,100 accounts after adding over 2,000 net new accounts in the quarter, and CoWork has reached 5,800 accounts. Management raised full-year product revenue guidance to $6.07 billion from a prior estimate of $5.84 billion and lifted its non-GAAP operating margin guidance to 14.5% from 13.5%, with margin already expanding to 15.3% in the quarter from 11% a year earlier. CFO Brian Robins said the revised outlook includes a higher revenue mix from fast-growing AI workloads that carry a lower contribution margin today, and flagged that bookings are expected to be increasingly weighted toward the fourth quarter, with remaining performance obligations at $9 billion, up 30% year over year, of which roughly 54% is expected to convert to revenue over the next 12 months.

Zscaler CEO and Founder Jay Chaudhry said at Citi's TMT Conference that the company entered fiscal 2027 with an expanded product portfolio, improving sales momentum and growing customer interest in AI security and zero-trust architecture. Chaudhry said Zscaler expanded its AI-security lineup from one product a year ago, GenAI Security, to six integrated products, and that security-for-AI bookings exceeded $100 million over the 12 months disclosed after the third quarter, with fourth-quarter bookings in the category up 50% sequentially. Net-new annual recurring revenue growth rose from 7% in fiscal 2025 to 10% in the first half of fiscal 2026 and 17% in the fourth quarter, while customers using Zero Trust Everywhere increased from 300 a year earlier to 950 and the company completed a record number of $1 million deals. Zscaler launched Agentic SecOps at the conference, supported by its Red Canary acquisition, and introduced Z Flex, a flexible purchasing structure whose participating customers generated 30% higher upsell than non-participants in its first year. Chaudhry said AI security and Zero Trust Everywhere are the areas most likely to provide upside in fiscal 2027, and that he is watching adoption of the company's Agentic Exchange, which is in limited availability.

Zscaler reported fiscal Q4 revenue of $898 million, up 25% year over year and above the $877 million analysts estimated, with annual recurring revenue also rising 25% to $3.77 billion. The company's GAAP net loss narrowed to $3.4 million from $17.6 million a year ago, while adjusted EPS of $1.19 beat the consensus estimate of $1.09. Guidance for fiscal Q1 revenue of $935 million to $939 million and adjusted EPS of $1.15 to $1.16 came in above Wall Street expectations, as did full-year fiscal 2027 revenue guidance of $3.91 billion to $3.94 billion. Despite those results, Zscaler shares are down more than 20% year-to-date, with the investment case now resting on whether its AI security business can become a second growth engine. AI-security bookings over the past year hit $100 million and grew more than 50% sequentially in the latest quarter, and management expects its Zero Trust Exchange for Agents and Endpoint AI Security offerings to begin scaling in the second half of fiscal 2027. Hedge fund ownership rose to 52 funds in Q2 from 46 in Q1, with AQR Capital Management increasing its stake by 35% to 1.36 million shares, Jericho Capital opening a new position of 1.36 million shares, and Millennium Management raising its stake by 238% to 1.13 million shares, while short interest fell 16.03% to 6.23 million shares, or 4.65% of the public float.

Snowflake Inc. reported second quarter results that sent its shares up 16.6% on September 3rd, with product revenue growing 37% and overall revenue growing 35%. The company raised its full-year product revenue guidance to $6 billion from $5.8 billion, implying 36% annual growth, and guided third quarter product revenue growth of 37% to 38%. Management said nearly half of the firm's second quarter acceleration came from AI, though GAAP net loss reached $191 million and GAAP operating loss was $263 million. Snowflake also lowered its full-year gross margin guidance to 74% from 75%, citing lower contribution margins from AI compute workloads. The stock trades at a forward P/E of 169, and 103 funds held stakes in the second quarter, up from 80 in the first, including new positions from Viking Global at $244 million and Maverick Capital at $248 million.

StoneX reiterated its Buy rating on Shopify Inc. as the stock rose 3.45% intraday, pointing to comments from chief operating officer Jess Hertz made on September 1. Hertz said agent-referred traffic using Shopify Catalog data converts at twice the rate of traffic built on scraped data, and that 75% of AI-attributed orders in the prior quarter came from categories outside Shopify's 100 largest. StoneX reads the structured catalog data as both improving conversion and spreading demand, though Hertz noted agentic gross merchandise volume remains small and nearly 90% of quarterly revenue comes from merchants more than a year old. Shopify headcount has been flat for more than eight quarters while revenue grew 34%, on $13.27 billion of trailing twelve-month revenue and a gross margin near 48%. StoneX said the data supports Shopify's attempt to become the commerce and merchant-of-record layer sitting beneath multiple AI interfaces.

Uber Technologies, WeRide and AVOMO, the autonomous vehicle division of Moove Cars Group, have secured Spain's first national permit for Level 4 autonomous passenger vehicles to operate on public roads, granted by Spain's Directorate General of Traffic under the ES-AV framework with support from the Regional Government of Madrid. The authorization, WeRide's ninth autonomous-driving permit globally, covers an initial phase of 20 vehicles equipped with WeRide's latest autonomous-driving technology, operating in high-demand areas across Greater Madrid under the supervision of in-car vehicle specialists, and marks the first EU national approval for WeRide's GXR autonomous vehicle. Commercial operations in Spain are expected to commence by the end of 2026, subject to deployment preparations and operational and regulatory requirements. The planned rollout marks WeRide and Uber's joint entry into Spain and Madrid's inclusion as the fourth of 15 cities covered by their strategic partnership, with the companies planning to expand into another 11 cities by 2030 and eventually deploy tens of thousands of autonomous vehicles on public roads worldwide. Uber currently works with more than 30 autonomous-vehicle partners across mobility, delivery and freight, collectively completing millions of autonomous trips annually, and expects to facilitate such journeys in as many as 15 cities by the end of 2026, aiming to become the world's largest facilitator of autonomous trips by 2029.