The Alphabet missed the quote for the quarterly revenue Wall Street on Tuesday. This is a sign that Google's parents have been hit by intensifying competition in the digital advertising market and deceleration in the cloud computing business.
TECH GIANT shares decreased by more than 6 % in extended transactions. This year, the alphabet has gained about 9 % so far.
Google's cloud business increased by 30 % to $ 119.6 billion in the fourth quarter, slowing down from 35 % in September quarter. According to the data compiled by LSEG, analysts expected to increase from 32.3 % to $ 12.16 billion.
Despite Google has built AI functions in the cloud computing platform, a soft cloud figure is born. Last week, Microsoft, a large cloud rival, reported that the growth beyond the expected Azure Cloud platform was weak.
According to the data compiled by LSEG, revenue increased by 12 % in the fourth quarter to $ 964.7 billion in the fourth quarter, compared to the average analyst estimate of $ 965.6 billion.
The company reported $ 2.15 per share and broke the estimated value of $ 2.13 per share.
