AIThe Decoder1h ago
Google's AI search problem finally shows up in the earnings report
Google's AI search problem finally shows up in the earnings report, some investors believe
TL;DRGoogle's search revenue growth slowed; AI features generate less money than ads.
Why it matters: Core search business faces monetization pressure as Google shifts toward AI, threatening its most profitable revenue stream.
Google's stock dropped as much as ten percent after its quarterly earnings. Cloud revenue more than doubled to $30.7 billion, but search revenue grew just 12 percent, slower than expected. Google acknowledged that its fast-growing AI mode brings in less revenue than traditional…
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