Yahoo Finance analysis indicates that both Alibaba (NYSE:BABA) and Amazon (NASDAQ:AMZN) are grappling with how quickly their AI capacity can translate into cash flow. Alibaba reported a 45% increase in AI Cloud and Compute Services revenue to RMB48.44 billion for the June quarter, with segment adjusted EBITA reaching RMB5.63 billion. However, its group capital expenditures hit RMB67.68 billion, resulting in a negative free cash flow of RMB44.67 billion for the quarter. Amazon's AWS revenue grew 37% to $42.2 billion, with segment operating income at $16.6 billion, but the company also reported a negative free cash flow of $7.6 billion for the trailing twelve months, primarily due to increased property and equipment purchases supporting AI investment. Both companies face the risk that installation costs, competition, and utilization may make returns less attractive than growth rates sugges