Alphabet, the parent company of search giant Google (GOOG, GOOGL), on Tuesday rejected Wall Street’s second-quarter estimates, supported by power in advertising and cloud computing.
These were the key results of Alphabet’s report, compared to consensus estimates prepared by Bloomberg:
Thanks to the tech giant’s hub, Google Search, ad revenue shot up 69% from the comparable quarter a year ago. Total total sales increased by 62% from the second quarter of 2020.
During the quarter, “there was an uptick in online activity in many parts of the world, and we are proud that our services have helped so many consumers and businesses,” said Sundar Pichai, CEO of Google and Alphabet.
“Our long-term investments in AI and Google Cloud help us deliver significant improvements in everyone’s digital experience,” he added.
The stock rose more than 2% after hours, which, if those gains hold, will bring the market cap closer to 2 trillion in Wednesday’s session.
In an exclusive conversation with Yahoo Finance in May, CEO Sundar Pichai called Search its “ultimate moonshot,” even in light of the company’s other projects.
“I see all the limitations. Even today, when people type a complex query, we look at keywords trying to match it,” he said.
“We still have a long way to go to really understand what the user intent is, the context, where they’re coming from and give the best answer. So that’s still the moonshot,” Pichai added.
Google, along with other big tech like Facebook (FB), Amazon (AMZN) and Apple (AAPL), are in the eye of a political storm as lawmakers in Washington debate whether or not to tighten regulations for major tech giants. . Pichai has warned that Internet freedom is under threat as governments take steps to protect users’ privacy and data and block the spread of misinformation.