Amazon Reassigns Engineers to Kiro, Discontinues Support for Competing AI Coding Tools
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Nov 25 2025
0mins
Should l Buy MSFT?
Source: TipRanks
Amazon's Shift to In-House AI Tools: Amazon has instructed its engineers to stop using third-party AI coding tools and instead utilize its own tool, Kiro, which allows for code generation through plain language descriptions. This decision aims to enhance Kiro's development and make it the default choice for engineers.
Impact on External AI Partnerships: Despite having significant investments in AI firms like Anthropic and a partnership with OpenAI, Amazon is moving away from these external tools, indicating a strategic shift to prioritize its own AI services and reduce reliance on outside platforms.
Market Response and Stock Performance: Following the announcement, Amazon's stock rose by 2.53%, closing at $226.28, with analysts maintaining a Strong Buy consensus rating and an average price target suggesting a potential upside.
Concerns for Developers: The transition to Kiro may impact developers accustomed to using more advanced external tools, as Amazon aims to streamline its operations and potentially lower long-term costs through internal growth.
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Analyst Views on MSFT
Wall Street analysts forecast MSFT stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for MSFT is 631.36 USD with a low forecast of 500.00 USD and a high forecast of 678.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
34 Analyst Rating
32 Buy
2 Hold
0 Sell
Strong Buy
Current: 401.140
Low
500.00
Averages
631.36
High
678.00
Current: 401.140
Low
500.00
Averages
631.36
High
678.00
About MSFT
Microsoft Corporation is a technology company that develops and supports software, services, devices, and solutions. Its Productivity and Business Processes segment consists of products and services in its portfolio of productivity, communication, and information services, spanning a variety of devices and platforms. It comprises Microsoft 365 Commercial products and cloud services; Microsoft 365 Consumer products and cloud services; LinkedIn, and Dynamics products and cloud services. The Intelligent Cloud segment consists of its public, private, and hybrid server products and cloud services. It comprises server products and cloud services, including Azure, and enterprise and partner services, including Enterprise Support Services. Its More Personal Computing segment primarily comprises Windows and Devices, including Windows OEM licensing; Gaming, including Xbox hardware and Xbox content; Search and news advertising, comprising Bing and Copilot, Microsoft News, and Microsoft Edge.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Product Update Plans: Altman also mentioned that OpenAI plans to release an updated chat model this week, and its AI coding tool Codex has grown by about 50% in the past week, which will further enhance its product competitiveness.
- Ad Testing Launch: OpenAI is set to begin testing ads in ChatGPT today, facing criticism from competitor Anthropic; Altman emphasized the goal of making AI accessible to a broad user base that cannot afford subscription fees.
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- Strong Growth Forecast: Management projects Q1 fiscal 2026 revenue of $19.1 billion, nearly a 29% increase, with adjusted EBITDA expected to rise 30% to $12.8 billion, showcasing the company's growth momentum.
- Industry Leadership: As a leader in Application-Specific Integrated Circuits (ASICs), Broadcom is well-positioned to benefit from the ongoing data center infrastructure demand, with global capital expenditures projected to approach $7 trillion by 2030.
See More
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- Investment Goal Setting: Achieving a stock portfolio of $1 million by retirement, alongside Social Security and 401(k) benefits, is projected to create a comfortable nest egg, underscoring the importance of long-term investing.
- Return Rate Analysis: With an initial investment of $10,000 and monthly contributions of $100, achieving a 21% annual return over 20 years could reach the $1 million target, highlighting the critical role of time in investment success.
- Stock Selection Recommendations: Nvidia, Taiwan Semiconductor, and Microsoft are identified as potential high-return stocks for the next decade, with Nvidia achieving a 30% average annual return over the past 10 years, emphasizing its significant role in AI infrastructure.
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See More
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- High-Return Stock Recommendations: To achieve the $1 million goal in just 10 years, an initial investment of $50,000 and monthly contributions of $100 are required, necessitating a challenging 30% annual return for investors.
- Nvidia's Market Advantage: Nvidia has achieved a 30% average annual return over the past decade, and despite a 15% decline from its peak, its competitive edge in GPU design for data centers remains strong, with projections of $7 trillion in AI infrastructure spending by 2030.
- Taiwan Semiconductor's Industry Position: As the world's leading semiconductor manufacturer, TSMC holds a 67% share of the third-party chip market and produces 90% of advanced AI chips, positioning it to benefit from the booming AI industry, while its current stock price remains relatively low at a 32x earnings ratio.
See More
