Google’s newest quarterly results present the tech large thriving amid the fast rise of synthetic intelligence. Alphabet reported its third straight quarter of double-digit digital advert development, alongside greater than 30 per cent development in its AI-driven knowledge centre enterprise.
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Dado Ruvic
Google’s newest quarterly report supplied additional proof that its web empire is withstanding a synthetic intelligence shakeup that is turning into one other potential boon for the firm.
The numbers launched on Wednesday marked Google’s third consecutive quarter of digital advert development of greater than 10 per cent from the earlier 12 months, whereas additionally posting greater than 30 per cent gross sales development in its division that powers knowledge centres for AI companies.
These will increase throughout the October-December interval propelled Google’s company guardian Alphabet Inc nicely previous the earnings forecasts of inventory market analysts.
Alphabet’s fourth-quarter revenue rose 30 per cent from the prior 12 months to USD 34.5 billion, or USD 2.82 per share, whereas income climbed 18 per cent to USD 113.8 billion.
The collective momentum of Google’s fundamental enterprise in search and promoting and the still-nascent AI discipline signifies an organization born throughout the late Nineties web growth is turning into even stronger throughout one other expertise phenomenon practically 30 years later.
“Search noticed extra utilization than ever earlier than, with AI persevering with to drive an expansionary second,” Alphabet CEO Sundar Pichai mentioned.
Google’s profitable evolution has helped drive up Alphabet’s inventory value practically 60 per cent in the previous 5 months, giving it a USD 4 trillion market worth. Which will have raised the bar for Alphabet to impress traders as the firm’s shares dipped 1 per cent in prolonged buying and selling following the report.
Apple, additionally at the moment price USD 4 trillion, thinks so extremely of Google’s AI that the iPhone maker just lately struck a deal to make use of Google’s Gemini expertise in a long-delayed improve to its digital assistant, Siri.
Google can also be embedding extra of its Gemini AI into its long-dominant search engine, Gmail and Chrome browser because it tries to keep away from complacency and being outmaneuvered by up-and-coming corporations reminiscent of OpenAI, Anthropic and Perplexity.
To fulfill the problem, Alphabet has been on a spending spree to develop its AI capability. After pouring USD 91 billion into capital expenditures devoted largely to AI final 12 months, the Mountain View, California firm is anticipated to spend much more this 12 months. Its capital expenditure finances has ballooned from about USD 30 billion yearly since 2022 when OpenAI launched its ChatGPT chatbot to a lot acclaim, prompting Google to drag out all the stops to catch up.
Google’s thriving digital advert enterprise helps finance the spree. Its digital advert gross sales totalled USD 82.3 billion in the fourth quarter, up 14 per cent from the earlier 12 months. Google Cloud, which oversees the knowledge centres behind many AI companies, posted income of USD 17.7 billion, a 48 per cent improve.
Search noticed extra utilization than ever earlier than, with AI persevering with to drive an expansionary second.
Revealed on February 5, 2026
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