Tech major Alphabet has reported its first-quarter earnings, which has exceeded analysts’ expectations. This growth is attributed to the company’s cloud computing influence.
Alphabet was bullish on its artificial intelligence (AI) developments, a strategy that augmented sits cloud demand and helped push the revenue up by 28 per cent in the first quarter.
The company’s generated sales, excluding partner payouts stood at USD 67.6 billion for the three months that ended on 31 March 2024, exceeding USD 66.1 billion expected on average by analysts.
The company’s net income was sealed at USD 1.89 per share.
Alphabet also notified that it would pay a dividend of 20 cents per share and repurchase an additional USD 70 billion in stock. The shares also experienced rise of 13 per cent in extended trading.
Meanwhile, other tech giants are also significantly working on their AI endeavours. Google is currently at the third position in the cloud computing market, lagging behind Amazon and Microsoft. However, Google’s exceptional AI capabilities have the potential to narrow this gap.
Alphabet has woven most of its services with AI. It has incorporated the new technology into various products ranging from web search to its enterprise software suite, which includes Gmail and Google Docs.
