Vodafone (NASDAQ:VOD) stock is on the move Tuesday as investors react to the company signing a $1.5 billion deal with Microsoft (NASDAQ:MSFT)!
The new partnership covers 10 years of working together on artificial intelligence (AI). That includes Vodafone making use of AI in its European and African markets.
Details of the deal include Vodafone spending $1.5 billion investing in Microsoft’s Azure OpenAI and Copilot technologies. This will see the company replace its physical data centers with cloud services instead. Vodafone says this will see AI assist its employees rather than replace them.
To go along with this, Microsoft has agreed to become an equity investor in Vodafone’s Internet of Things (IoT) business. That division is set to be split off on its own by April. Judson Althoff, Microsoft Chief Commercial Officer, said that Vodafone’s IoT services were of strategic importance to the company, per Reuters.
How This Affects VOD Stock Today
News of the deal with Microsoft has some 1 million shares of VOD stock changing hands on Tuesday. That’s still a far way off from its daily average trading volume of about 6.5 million shares.
VOD stock is down 1% and MSFT stock is up nearly 1% as of Tuesday morning.
Investors who are seeking out even more of the latest stock market stories are going to want to stick around!
InvestorPlace is home to all of the hottest stock market news that traders need to know about on Tuesday! A few examples include what’s happening with shares of Synopsys (NASDAQ:SNPS), Boeing (NYSE:BA) and Digital World Acquisition (NASDAQ:DWAC) stock today. You can catch up on all of this news by checking out the following links!
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On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
