Earnings outlook: Cloud and AI spending could boost tech giants’ growth

Executives at Choice Hotels International Inc. realized years ago that they needed upgrade the company’s information technology systems — especially a global reservations system that, like many companies’ mission-critical systems, predated the internet. Ultimately, the owner of Quality Inn, Cambria Hotels and other chains settled on moving to Amazon Web Services Inc.’s cloud — a shift of more than 1,000 applications that will continue for several more years and include many more technologies. What’s more, Brian Kirkland, Choice’s chief technology officer, thinks the company’s many rivals that haven’t already followed suit will be forced to do so in coming years. “We’re at the beginning of a long journey,” he said. “But the reality is they don’t have a choice.”