GOOG · 10-Q · 2026Q1 · Full report

Cloud Services Growth

Alphabet Inc. · 2026-04-30 · Importance 83 · Surprise 82

Google Cloud revenues grew materially year over year, increasing by $7.8 billion (63%), driven primarily by Google Cloud Platform consumption for infrastructure and platform services. Growth reflects higher demand from enterprise customers for cloud infrastructure and platform offerings, including AI-related services such as Vertex AI and Gemini Enterprise. The segment’s operating income also improved meaningfully, driven by the revenue increase albeit partially offset by higher usage costs for technical infrastructure and employee compensation. Google Cloud is also being supplemented by recent acquisitions (Wiz, Intersect) that have been allocated to the cloud segment.