Google vs Microsoft: Which Cloud Stock Wins?

Alphabet and Microsoft both dominate AI-driven cloud growth, but they suit different investors. Google trades at half Microsoft's valuation with faster cloud revenue growth of 63% year over year, while Microsoft offers superior margins of 46%, a 23-year dividend history, and $627 billion in contracted future revenue. For retirement-focused investors, Microsoft's predictability and income durability make it the stronger fit despite its premium price tag. Value-oriented growth investors with longer time horizons may prefer Alphabet, which offers faster expansion and significant optionality through Waymo and Gemini, though heavy capital expenditure guidance remains a concern.