Google Cloud's 63% Growth Outpaces Ad Business

Google Cloud hit $20 billion in Q1 2026 revenue, up 63% year-over-year—faster growth than Google's core ad business. The acceleration reflects enterprises moving AI workloads to the cloud, alongside competition from AWS and Azure. Alphabet is doubling infrastructure spending in 2026. A partnership with Apple to run AI services on Google's Gemini models adds momentum.