Google's parent company Alphabet recently released its first-quarter financial results, significantly surpassing expectations. Revenue reached approximately $110 billion, up 22% year over year, while net profit soared by 81% to $62.6 billion, far exceeding Wall Street analysts' forecasts. CEO Sundar Pichai stated that AI is "illuminating every aspect of our business." The Cloud segment stood out particularly strongly, generating quarterly revenue of $20 billion, a 63% increase year over year. Notably driven by enterprise demand for AI solutions and self-developed TPU chips, Google's cloud backlog surged from $240 billion in the previous quarter to $460 billion, with about half expected to convert into actual revenue within the next two years. Substantial investments in AI are yielding returns for Alphabet. Capital expenditure guidance has been raised to between $180 billion and $190 billion this year. CFO Anat Ashkenazi revealed that capital spending in 2027 is projected to be significantly higher than in 2026. In chip development, Google last week unveiled its eighth-generation TPU chip, optimized specifically for inference and training workloads, and announced plans to begin selling these chips directly to select customers—not solely through its cloud platform. While direct sales contributions this year will remain modest, they are expected to become more substantial by 2027. On the product front, Gemini 3, launched in November last year, remains Google's most potent weapon in its AI portfolio, outperforming competitors across multiple benchmarks. Search operations also remained robust, contributing approximately $60.4 billion in quarterly revenue, an increase of roughly 19% year over year. On regulatory matters, Google secured a partial victory last year in federal antitrust proceedings—the judge rejected aggressive proposals such as forced divestiture of Chrome, citing increased market diversification due to competition in AI. Following the earnings announcement, Alphabet's after-hours stock price rose by more than 6%. With gains reaching 65% last year and around 10% so far this year, it stands among the few tech companies to join the $4 trillion valuation club.