Google Cloud, including GCP and G Suite, revenues were $2.8 billion for the first quarter, up 52 per cent year-over-year.
In its first quarter earnings call Tuesday, Alphabet CEO Sundar Pichai said that although some Google advertisers are thinking about shifting ad budgets into new opportunities such as virtual vehicle showrooming, "there are large sectors of the economy, which are affected, things like travel, and our large partners and customers are impacted". It will have most of the features that were available to business and education users. "It's relatively easy to turn off and then back on, and marketers see it as highly cost-effective".
Google has confirmed that it doesn't use Meet data for advertising and the company also doesn't sell your data to Thord parties.
Google Cloud's annual revenue run rate now exceeds US$11.08 billion.
YouTube, along with Search and iCloud, paced the quarter's performance, according to CEO Sundar Pichai. "We're proud of the accelerated traction we achieved across sectors, including public sector and healthcare for disease monitoring and control, working with leading retailers on demand forecasting, working with companies across media and communications to enhance their customer service, and across industries on supply chain optimization".
YouTube generated $4.04 billion in ad revenue for the first quarter of 2020, up 33% from the year prior.
"Overall ad spending will mirror the likely contraction in the economy caused by the pandemic, and we expect Alphabet to suffer from slower growth for the balance of the year", Wedbush Securities analyst Michael Pachter said in a note to clients before the results came out.
Trolls World Tour's Huge VOD Success Could Mean Bad News for Cinemas
The studio says it believes in the theatrical experience but wants to release future films on-demand when it makes sense. Theatres announced late Tuesday that it will no longer show any movies by Universal Pictures , effective immediately.
Alphabet is the first of the tech giants to report earnings this week, revealing the first signs of the pandemic's toll.
Alphabet reported a profit of $6.8 billion in the first three months of the year, up almost three percent from last year, on revenue that grew 13 percent to $41 billion. Analysts on average expected the company to post revenue of $40.38 billion and EPS of $10.33. Net income rose 2.7% to $6.84 billion or $9.87 per share. However, there are concerns about the safety features of the app. This is unsurprising given Google's horribly messy product and strategy when it comes to messaging services.
"YouTube watch-time has also significantly increased".
"Although users may not be focused as much on purely commercial activities right now, over the long term, the value we provide to billions of users globally serves us well".
In a financial filing in late March, another major Google travel advertiser, Booking Holdings, which spends around the same amount on Google as does Expedia Group, pledged to "dramatically reducing marketing spend worldwide". "Given the usage trends we are seeing, we remain really optimistic about long-term trends", she said. "So we will continue to invest in these areas, including Search, machine learning and Google Cloud".