A rebound in the advertising businesses of Google and Snap have signaled that the rising adoption of artificial intelligence was drawing marketers to digital platforms even in an uncertain economy, boding well for Facebook-parent Meta Platforms.
Alphabet and Snap surpassed third-quarter revenue expectations on Tuesday, with the tech giant seeing strong growth both at its core Search and YouTube units.
Meanwhile, Snap's efforts to revamp its ad targeting tools with technology also paid rich dividends, as average revenue per user increased in the third quarter. "We expect the larger platforms like Meta and Google to lead the wallet share growth at least initially in this ad spend recovery," analysts at Evercore ISI said.
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Google-parent Alphabet reports quarterly revenue above estimatesGoogle-parent Alphabet's third-quarter revenue beat Wall Street expectations on Tuesday, helped by a rise in advertising spending and resilient demand for cloud services due to increasing adoption of artificial intelligence tools.Revenue for the quarter ended Sept. 30 stood at $76.
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Microsoft's AI bets boost cloud business, Alphabet yet to find silver liningGoogle-parent Alphabet's cloud business suffered as long-time rival Microsoft's took off in the September quarter, demonstrating early signs that the Windows maker's investment in artificial intelligence was paying off.Alphabet's shares fell 7 per cent in after hours trading on Tuesday.
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Snap revenue view above estimates on boost from new ad targeting toolsSnap forecast fourth-quarter revenue largely above estimates on Tuesday after posting better-than-expected revenue and user growth for the latest three months as efforts to revamp the ad targeting tools of its photo messaging app paid off.
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Meta's Instagram linked to depression, anxiety, insomnia in kidsDozens of US states are suing Meta Platforms and its Instagram unit, accusing them of fueling a youth mental health crisis by making their social media platforms addictive.
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Meta’s Instagram linked to depression, anxiety, insomnia in kids: US states’ lawsuitStates also accused Meta of violating a law banning the collection of data of children under age 13. Read more at straitstimes.com.
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Dozens of US states sue Meta Platforms for harming mental health of young peopleDozens of U.S. states on Tuesday sued Meta Platforms and its Instagram unit, accusing them of contributing to a youth mental health crisis.
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