Reuters reported that Alphabet, Google's parent company, has assured technology investors that its investments in artificial intelligence (AI) are already having a positive impact on its advertising business despite economic uncertainties.
The company's first-quarter profit and revenue beat expectations, and Alphabet announced a $70 billion share buyback, sending its shares up 4%, adding $75 billion to its market value.
Alphabet also confirmed its $75 billion capital spending plan, aiming to continue its leadership in AI. The move also sent shares of Meta and Amazon up.
Google's advertising revenue, which accounts for nearly 75% of total revenue, rose 8.5% to $66.89 billion this quarter. This is lower growth than in the previous quarter (10.6%) but higher than the 7.7% expected by analysts.
