Alphabet to report Q2 earnings, uncertain revenue growth, criticism for AI mishaps

From CNBC: 2024-07-23 13:37:41

Google parent company Alphabet is expected to report second-quarter earnings with analysts predicting earnings per share at $1.84 and revenue at $84.19 billion. Wall Street is also monitoring key numbers: YouTube advertising revenue at $8.93 billion, Google Cloud revenue at $10.20 billion, and Traffic acquisition costs at $13.54 billion.

Alphabet saw expansion with Waymo’s rollout in San Francisco and new AI products like Gemini 1.5 Flash. The company faced criticism for AI mishaps, including nonsensical answers from AI Overview. Revenue growth from these products is uncertain, raising questions about the company’s ability to safely launch AI at a competitive speed.

Alphabet recently announced new finance chief Anat Ashkenazi and continued layoffs across various teams, including Google’s cloud unit and Core engineering teams. Complaints from employees about morale decline included lack of trust, tighter deadlines, and fewer advancement opportunities, impacting the company’s reputation as a top employer amid a competitive AI market.



Read more at CNBC:: Alphabet set to report Q2 earnings results after the bell