Welcome to the Cloud Wars Minute — your daily news and commentary show, hosted by Cloud Wars Founder Bob Evans. Each episode provides insights and perspectives around the “reimagination machine” that is the Cloud.
In this Cloud Wars Minute, Bob discusses the third quarter results of Google Cloud. For the past two years, Google Cloud has been one of the top leaders of the Cloud Wars Top 10. In reviewing the company’s Q3 results, Bob notes that its revenue is way up and its losses are way down. Further, the investment commitment from Alphabet, the parent company of Google Cloud, is significantly up as well.
00:59 — Google Cloud’s growth for Q3 is 37.5%. The loss, as a percentage of its revenue, is down to 10.2% — which is the lowest quarter loss it has had since it started reporting losses. The company reported $6.9 billion in revenue with a loss of $700 million.
01:33 — The way that Google Cloud can get the closest to breaking even is to scale the growth of the company. For the calendar year, Google Cloud has reached about $25 billion.
This Cloud Wars Minute is sponsored by Celonis, the market leader in process mining and execution management. The world’s top 2,000 process fanatics learned to fix process inefficiencies at Celosphere, the company’s annual conference, which was held November 9th and 10th in Munich, Germany. Sign up to watch the free virtual Celosphere 2022 stream here.
01:53 — In the earnings call this past week, Ruth Porat, CFO of Alphabet, announced plans for the company to redeploy investments against its most compelling opportunities. She also said that Google Cloud has demonstrated that it’s one of the high-growth engines across the whole company.
02:47 — When looking at Alphabet, two of its biggest properties are YouTube and Google Cloud — which are both at approximately $7 billion in revenue.
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