The owner of Google, Alphabet, reported on Wednesday a higher profit and revenue thanks to stable demand for cloud services and a recovery in advertising.
Revenue for the period from April to June was up seven percent compared to the same period last year, reaching $74.6 billion.
Earnings per share jumped 19 percent to $1.44.
Google’s advertising revenue increased by 3.2 percent to $58.1 billion. In the first quarter, it remained at the same level as the same period last year, while in the last three months of the previous year, it decreased by 3.6 percent.
Google Cloud revenue surged by 28 percent in the period from April to June, reaching $8.1 billion.
Advertising is a significant source of revenue for Alphabet, and advertisers have recently pulled back from unverified platforms and directed money towards digital giants, including Google and Meta Platforms, Reuters notes.
The company has meanwhile modified its search engine, said Alphabet CEO Sundar Pichai. Alphabet is testing which formats are effective and is exploring placing ads within AI-based search.
Currently, 80 percent of advertisers use at least one AI-based search product, said Chief Business Officer Philipp Schindler.
Alphabet plans to integrate generative artificial intelligence into other products, such as Gmail, Google Photos, and the Android mobile operating system.
