Google Cloud Revenue Surges 80% as Alphabet Increases AI Infrastructure Spending

Alphabet reported a significant increase in Google Cloud revenue, growing over 80% and exceeding investor expectations. This growth is attributed to the company's substantial investments in AI, including its Gemini AI model and AI search queries. Alphabet also announced a further increase in its capital expenditure forecast for 2026 to between $195 billion and $205 billion, primarily to fund the expansion of its AI data centers and computing infrastructure.