Google's business results improved thanks to the growth of search and cloud computing services.
According to the second quarter earnings report published on July 23 of Alphabet (the parent company that owns Google ), revenue from the search feature alone reached 48.5 billion USD.
Meanwhile, Google's cloud computing division reached $10 billion in revenue for the first time and also achieved $1 billion in operating profit.
Sundar Pichai - CEO of Google said that the company's AI (artificial intelligence - PV) solutions for customers using Google's cloud computing services have generated billions of dollars in revenue and being used by more than 2 million developers.
“We are innovating at every layer of the AI system. Our internal research teams and veteran infrastructure leadership are well positioned as technology evolves, as we plan for the opportunities ahead.” Pichai said in a letter to investors.
In early July, Google was said to have considered acquiring startup Wiz for $23 billion to strengthen its cloud security portfolio. However, Wiz rejected this deal to continue with the initial public offering, according to CNBC.
After reaching a $2 trillion market capitalization in April, Google began using large language model (LLM) support - Gemini to implement the AI Overview feature in Search.
However, Google had to remove this feature when users quickly discovered that it provided strange answers to some questions.
Still, Pichai said, AI Overview has helped boost users' use of Search and increase their satisfaction with the results it produces.
Google also announced this week that it will abandon its long-term plan to eliminate third-party cookies (files that store user information), as Safari and Firefox have done. Instead, Google Chrome will ask users to “make an informed choice that applies to their entire web browser.”
Meanwhile, other areas of Alphabet corporation also witnessed outstanding growth. Google's advertising revenue soared to $64.6 billion, of which YouTube advertising increased 13% over the previous year, reaching $8.6 billion. The subscription services, platform and device management division earned $9.3 billion.
Google may receive an additional "big boost" in August after holding a new device launch event earlier than usual. This is when the company will launch the Pixel 9 and Pixel 9 Pro Fold phones, as previously announced.
