Alphabet Q1 revenue rose 22% to $109.8 billion

Alphabet reported Q1 revenue of $109.8 billion, up 22%, and net income of $62.6 billion, up 81%, according to comments from CEO Sundar Pichai on the company’s earnings call. Google Cloud revenue rose 63% to $20 billion, while search and other revenue increased 19% to $60 billion.

Alphabet said Google Cloud’s backlog nearly doubled quarter-on-quarter to more than $460 billion. Pichai said Gemini Enterprise recorded 40% quarter-on-quarter growth in paid monthly active users, and Alphabet reported 350 million total paid subscriptions, led by YouTube Premium and Google One. Google’s subscriptions, platforms, and devices division posted $12.3 billion in revenue, up from $10.3 billion in the same quarter last year.

The results show how AI and cloud infrastructure are contributing to Alphabet’s growth as large technology companies increase spending on data centres and compute. Alphabet also said it will begin offering its tensor processing units to select enterprise customers for use in their own data centres, and it reaffirmed plans to spend up to $185 billion in capex this year, alongside heavy investment by Meta Platforms and Microsoft. Alphabet said its reported net income included a $36.9 billion gain on equity securities, which added $28.7 billion to the total.