Google's parent company Alphabet has released its financial results for the second quarter of 2016 showing that it earned a great deal of revenue and profit as a result of Google's strong focus on mobile.
Alphabet's overall revenue increased by 21 per cent to $21.5 billion. However, Google's earnings account for $21.3 billion of its parent company's revenue. The remaining revenue comes as a result of the company's 'Other Bets' which include Nest, Fiber and Verily that earned a reported revenue of $185 million during Q2.
During the second quarter of the 2016 fiscal year, Alphabet managed to increase its profit by 21 per cent earning $5.96 billion. Google was once again responsible for this and actually brought in $6.99 billion though the Other Bets division ended up bringing this number down with a $859 million loss during the quarter.
Sundar Pichai, Google's CEO attributes these high numbers to the company's decision to focus on mobile and explained the company's recent growth, saying: “There's an amazing energy right now at Google. The strength of the quarter is about mobile. It's transformed the way people consume information, and Google's products have become a central and much loved part of their experience.”
“Our investment in mobile now underlines everything that we do today, from Search and YouTube to Android and advertising. Mobile is the engine that drives our present. And now with our deep investments in machine learning and AI we are building the engine that will drive our future.”
Though he did not provide any financial information, Pichai did offer some insight into Google's cloud strategy, saying: “Many tremendous digital experiences are being built in the cloud today, and businesses are working to take advantage of the cloud as part of their digital transformation.
"We've been integrating our cloud and apps products to create more unified solutions for companies large and small, and these efforts are paying off."
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