Alphabet, Googles parent company saw an increase in it’s “other revenues” increase to $3.1 billion in the first quarter of the year which is a 50% gain from the same quarter a year earlier.
This segment includes sales from Google products such as their Cloud Services, Google Play Store, and it’s Pixel devices and Google Home. while they are a small percentage of Google’s overall revenue in the quarter they do highlight an important as all of these services are seeing an increase in sales.
Alphabet has yet to break down the sales for each but Google CEO Sundar Pichai bragged regarding the companies progress and its increased sales.
“We are seeing a meaningful shift and this momentum is resulting in a fast-growing business,” Pichai said of Google’s cloud efforts.
Google cofounder Larry Page suggested that the company has gotten better at managing it’s ventures since its restructuring into Alphabet.
“I… think we have learned a lot about how to set up new companies with a structure for success,” he wrote in the letter.
“We have taken it pretty seriously and we are taking significant steps,” Pichai said on the call. Google has begun investing in artificial intelligence to better pinpoint objectionable content. “I’m pretty confident at the rate at which we’ve made progress.”
Martin Utreras, an analyst with eMarketer, said the boycott was unlikely to affect the first quarter earnings, given the controversy kicked off late in the quarter.
“However, with YouTube as a core driver of ad growth, we expect Google to quickly contain and address YouTube’s issues in order to maintain growth expectations for the year,” Utreras said in a statement.