Google Cloud CEO Says Tech Giant Has ‘Made Billions' on AI

Core Insights - Google Cloud's CEO, Thomas Kurian, highlighted the company's significant revenue generation through AI services, stating that they have already made billions from AI [2] - The company's backlog has reached $106 billion, growing faster than revenue, with over 50% expected to convert to revenue in the next two years [2] Financial Performance - Google Cloud reported a revenue of $13.62 billion, reflecting a 32% increase year-over-year, although it still trails behind Microsoft and Amazon in overall cloud business [3] - The growth in revenue is attributed to both consumption-based payments from enterprise customers and subscription models [3] Customer Acquisition and Strategy - Google Cloud's strategy includes upselling customers to higher quality models and more expensive tiers, with a noted 28% sequential growth in new customer wins in the first half of the year [5] - Nearly two-thirds of customers are already utilizing Google Cloud's AI tools, indicating strong adoption [5] Blockchain Development - Google Cloud is developing a Layer 1 blockchain, the Google Cloud Universal Ledger (GCUL), aimed at providing a neutral infrastructure for financial institutions [6] - GCUL is designed to support Python-based smart contracts and has already been employed by CME Group for tokenization and payments [6][7] - The blockchain aims to be a neutral option for financial institutions, allowing them to build independently of existing blockchains [7]