Alphabet’s earnings set the stage for tech’s AI question

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Sundar Pichai Nouvelles

Google,Alphabet,Google Cloud Platform

Google announced its second quarter earnings after the bell on Tuesday, but the company still isn't sharing much in terms of when it expects to see major...

) kicked off Big Tech’s earnings season on Tuesday, giving Wall Street its first look at digital ad and cloud spending in the quarter. The company reported better than expected earnings and revenue, on the strength of Search ads and continued cloud growth, but fell short on YouTube ad sales.

So far, Alphabet says it’s seeing an uptick in cloud revenue with some of that coming from interest in AI products. But CEO Sundar Pichai sidestepped a more direct question about when analysts can expect to start seeing a return on capital investments related to AI, saying that the spending is necessary for a long-term bet like AI, adding that in situations like this it’s better to overinvest rather than underinvest and fall behind.

Wedbush analyst Scott Devitt, meanwhile, pointed to Google’s AI Overview for search helping to drive better customer engagement and creating more monetization opportunities as a positive in the company’s report. SAN DIEGO — Comic-Con International, the comic book and pop culture extravaganza, is kicking off in San Diego. The convention, which draws over 130,000 fans annually, opens for a preview night Wednesday and runs through Sunday.Roughly 95% of Americans have either a checking or savings account, according to the Federal Deposit Insurance Corporation . For many people, a savings account is a great place to keep extra...

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Google parent Alphabet to report Q2 earnings Tuesday with AI, ad spending front and centerGoogle parent Alphabet will report its Q2 earnings after the bell on Tuesday.
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