Post Mortem: Is Alphabet Winning Ai War?

Sean Emory, the founder and Chief Investment Officer at Avory & Co. breaks down Google's earnings report and highlights the strong performance of its cloud business, with revenue reaching $84 billion and operating margins expanding.

Google Cloud surpassed $10 billion in a single quarter and generated $1 billion in operating profit. However, YouTube's revenue missed expectations, although it still experienced low double-digit growth.

The report also emphasizes Google's focus on AI, with 1.2 million developers working on their platforms and the introduction of the Gemini model for generative search.

The earnings call discussed the potential of AI to generate profits and revenue for Google, but it is still early in the journey. Overall, Google had a good quarter, showing growth and profitability.

Chapters

00:00 Introduction and Overview

00:30 State of the Quarter: Strong Performance of Google's Cloud Business

02:25 State of the Quarter: YouTube's Revenue Misses Expectations

03:54 State of AI: Google's Focus on AI and the Gemini Model

05:51 State of AI: The Potential of AI for Google's Revenue

08:19 General Takeaway: Google's Overall Good Quarter

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