Alphabet's second-quarter earnings report showcased the company's significant investments in AI and their positive impact on Google's search, Cloud, and YouTube platforms. The company's stock has risen by 24% in the last six months, indicating investor confidence in Alphabet's AI-driven strategies.
Analysts predict that Alphabet's search revenue will reach $197 billion this year and $217 billion by 2025, fueled by the AI chatbot Gemini. YouTube revenue is expected to grow to $37 billion in 2024 and $43 billion in 2025. The company's robust growth in the Cloud sector is projected to continue at a rate of 28%, largely due to the adoption of generative AI technology.
Furthermore, Alphabet plans to initiate a $70 billion buyback and introduce its first-ever dividend following a strong first-quarter performance. The company's CEO, Sundar Pichai, has overseen a remarkable growth of $1.8 trillion in value since 2015. However, despite these accomplishments, Alphabet reported losses due to its heavy AI investments, spending $2.2 billion on model development.
Nonetheless, the company's stock is up 30% year-to-date, outperforming major competitors like Microsoft and Amazon.
infobud.ai is an AI-driven news aggregator that simplifies global news, offering customizable feeds in all languages for tailored insights into tech, finance, politics, and more. It provides precise, relevant news updates, overcoming conventional search tool limitations. Due to the diversity of news sources, it provides precise and relevant news updates, focusing entirely on the facts without influencing opinion. Read moreExpand