Google Parent Alphabets Equity Pictures When the Sky Revenue Draws

Google Parent Alphabet (Googl) reported earnings in the fourth quarter that topped the analysts’ estimates, but its cloud revenue came for a short time and sent shares lower in extended trade on Tuesday.

The technology giant saw revenue growing 12% years over year to $ 96.47 billion, about in line with the analysts’ consensus prepared by visible alpha. Alphabet earnings of $ 26.54 billion, or $ 2.15 per Share, increased from $ 20.69 billion or $ 1.64 per share. Share, a year earlier and beating projections.

Google Cloud’s revenue growth of 30% to $ 11.96 billion happy expectations as well as Google’s search and other segment revenue for $ 54.03 billion.

Alphabet CEO Sundar Pichai said the company expects to invest around $ 75 billion in capital costs in 2025 “to speed up our progress.”

The results come after the emergence of a sophisticated, cost-effective AI model from Chinese start-up Deepseek raised concerns about US companies’ competitiveness and their expenses for the new tech.

Chinese regulators also launched an antitrust -probe to Google this week in response to new US tariffs that come into force. Most Google services, including Gmail and YouTube, are already banned in China.

Alphabet’s Class A shares fell close to 7% in extended trade after release. The share closed with a record height of $ 206.38 Tuesday and has added approx. 43% over the past 12 months.