Google Parent Alphabet Profits Grow On Ads And Cloud

San Francisco, (APP - UrduPoint / Pakistan Point News - 25th Oct, 2023) Google parent Alphabet on Tuesday reported a quarterly profit of $19.7 billion powered by money taken in from ads, YouTube, and cloud services.

Alphabet beat market expectations, bringing in $76.7 billion in revenue, versus $69 billion in the same period a year earlier.

"I'm pleased with our financial results and our product momentum this quarter," Alphabet chief executive Sundar Pichai said in an earnings release.

Pichai added that Alphabet is continuing to focus on making artificial intelligence "more helpful for everyone," promising "exciting progress" on that front.

Consumers and investors have been keenly watching how companies take advantage of artificial intelligence, and Google along with microsoft and OpenAI are considered leaders in the technology.

But Alphabet has largely been seen as playing catch up with Microsoft, with questions over whether the mighty Google search engine will withstand developments in AI.

Microsoft was quick to beef up its Bing search engine with AI powers, but Google's search has yet to see a real threat to its dominance, and continues to hold about 90 percent of the market worldwide.

Google, like most big tech companies, saw its share price rise steeply in 2023 as investors expected AI to generate new revenue and open new markets.

Alphabet share prices slipped more than 5 percent to $131.40 in after-market trades Tuesday despite earnings figures that beat market expectations.

Revenue in Alphabet's cloud division, which infuses AI into its services, was $8.4 billion in the quarter, compared to $6.7 billion in the same period a year earlier.