Alphabet's cloud margins expand despite higher AI investments
The surprising dichotomy helped Alphabet shares rally following its Q2 report.

Alphabet’s 2nd-quarter 2025 earnings name equipped traders a clear signal: The tech giant’s aggressive AI approach is paying off, notably in cloud.
Even as capital expenditures surge to fuel development in artificial intelligence (AI), Google Cloud’s profitability continues to upward push, marking critical development within the company's prolonged-time interval pivot from its historical dependence on promoting to infrastructure and endeavor companies and products.
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