AI demand leads to strong surge in sales for Amazon’s cloud unit

Amazon’s cloud unit posted the strongest sales growth in a year, a sign that the retailer’s most profitable unit is recovering from a slump as businesses resume spending on technology projects, including artificial intelligence services.

Despite the strong cloud performance, the company’s sales forecast for the current quarter fell short of estimates, reflecting concern about the main e-commerce business as consumers continue to spend cautiously.

Chief executive Andy Jassy in recent years has cut costs ...