Alphabet's Q2 Earnings Highlight AI Cloud Growth and Gemini Delay

Alphabet, the parent of Google, is set to report its second‑quarter 2026 earnings with revenue projected between $116.9 billion and $117 billion, up roughly 22 % year‑on‑year. The company’s Google Cloud division is the chief growth engine, forecast to generate $22.4‑$22.8 billion, a 63‑67 % increase, and its backlog of unfulfilled cloud contracts has swelled to about $488 billion. Alphabet’s 14 % stake in Anthropic, now valued at $965 billion, is worth roughly $135 billion; analysts say the unrealised gain could add about $80 billion to earnings, but it is a one‑time accounting effect rather than a sign of operating strength. Investors are also watching the delayed launch of the Gemini 3.5 Pro AI model, which could affect the company’s AI roadmap. Market futures slipped ahead of the report, with the Dow Jones futures down 0.11 % and the Nasdaq futures down 0.74 %, as traders assess the impact of cloud growth and the Gemini delay. Comparable figures for Apple’s recent quarter showed $111.2 billion in revenue, underscoring the divergent strategies of the two tech giants.