Both Alphabet and Amazon just posted accelerating cloud growth and are pouring tens of billions into AI infrastructure, but only one of them trades at a bargain multiple while controlling every layer of its own stack.
Alphabet (NASDAQ:GOOGL | GOOGL Price Prediction) and Amazon (NASDAQ:AMZN) both reported second-quarter results showing their cloud businesses speeding up in the same quarter. Both companies are spending heavily on AI compute, and investment gains inflated net income at each one. To compare them fairly, look at how the operating businesses performed and how much cash each expansion is using.
Google Cloud Speeds Up While AWS Finally Reaccelerates
Google Cloud revenue grew 82% to $24.77B, faster than the 63% it posted in Q1. It is a steep jump for a business of that size. Search and other revenue rose 17%, and AI features drove query growth. So far, chatbots are making the core business bigger. Sundar Pichai said “the Gemini App has 950 million monthly active…
