Alphabet Earnings: Shares Rise as Wall Street Reacts to Upbeat Growth

Search is a huge business for Alphabet. So Wall Street is wondering how the artificial intelligence revolution will impact this powerhouse.

Advertising on Google’s search engine, in particular, has been lucrative, but analysts doubt AI-powered search will be a similar source of revenue.

Alphabet executives addressed the topic during an earnings call, saying early efforts to monetize AI are showing success. “The transition is working well here, also in advertising,” said commercial director Philipp Schindler.

Thanks to search AI reviews, Google is seeing “about the same monetization rate, which gives us a really strong foundation to innovate on,” he added.