Alphabet reported above-expected revenue, while also pumping ever more money into its artificial intelligence efforts.
Google’s parent company said its search and cloud computing arms drove 14% revenue growth in Q2 this year, allaying fears that its AI Overview summaries in search results would reduce the value of ads.
The tech giant will use the money to further its dash for more data centers and AI-related infrastructure.
Its capital expenditure will be about $85 billion this year, up from a prior estimate of $75 billion and quadruple what it spent in 2020, the Financial Times reported, as it and the rest of Silicon Valley compete in an AI arms race.
Google’s CEO said AI was “positively impacting every part of the business.”