Alphabet once again earns more with Google Cloud, and Google ads also continue to grow

Alphabet once again achieved significantly more turnover with Google Cloud in the past quarter. Despite this increase, ads in Search and other Google Services remain central to the increased profits.

Google’s parent company achieved nearly $76.7 billion in revenue in the third quarter of 2023, which is an increase of 11 percent compared to the same quarter last year. Profit also rose significantly, by more than 40 percent to just under $19.7 billion, it shows quarterly figures.

Alphabet generated the majority of its turnover from advertising revenue, or advertisements shown in Google Search. By comparison, Google Search and other services brought in more than $44 billion last quarter, while ads on YouTube and Google Network websites totaled less than $16 billion. Turnover from YouTube advertisements increased by about 11 percent last quarter. The video platform started testing new ways to detect ad blockers last summer, although it is unlikely that this will already be reflected in these quarterly figures.

The largest increase in turnover was achieved by the Google Cloud department. With this, Alphabet obtained $8.4 billion, which is an increase of about 22 percent compared to the same quarter last year. This does not alter the fact that Google’s revenue from cloud services has increased less almost every quarter since Q2 of 2021.

AI development group Google DeepMind made a loss of $1.7 billion in the past quarter. This department has recently been included separately in the quarterly figures, while it previously belonged to the Google Services category.