Chinese tech company Baidu announced Wednesday its Apollo Go robotaxi arm has entered a strategic partnership with PostBus in Switzerland.BEIJING — Chinese tech giant Baidu announced Wednesday that its robotaxi unit will start test drives in Switzerland in December, as firms race to get their vehicles on European roads. The company's Apollo Go unit will work with Swiss public transit operator PostBus through a strategic partnership, Baidu said.By the first quarter of 2027, the companies aim to begin operati ...

Core Insights - Baidu's Q2 2025 financial report shows total revenue of 32.7 billion yuan, with core net profit increasing by 35% to 7.4 billion yuan, and AI new business revenue surpassing 10 billion yuan for the first time, growing by 34% year-on-year [1][2] - The company's AI strategy is characterized by long-term investment and a full-stack approach, allowing it to establish a strong foothold in both B-end and C-end markets [3][4] Financial Performance - Total revenue for Q2 2025 reached 32.7 billion yuan, with a core net profit of 7.4 billion yuan, marking a 35% year-on-year increase [1] - AI new business revenue exceeded 10 billion yuan for the first time, reflecting a 34% year-on-year growth [1] AI Business Development - Baidu's "LuoBo Kuaipao" service achieved 2.2 million global ride-hailing services in Q2, a 148% increase year-on-year, and has completed over 14 million services cumulatively, ranking first globally [4][6] - The company has established partnerships with Uber and Lyft to deploy thousands of autonomous vehicles across Asia, the Middle East, and Europe [4][6] Strategic Positioning - Baidu's full-stack AI capability, which includes chips, frameworks, models, and applications, has become a core competitive advantage in the B-end market [7][9] - Baidu's intelligent cloud revenue grew by 27% year-on-year in Q2, with Non-GAAP operating profit also increasing [7][9] Market Leadership - Baidu's intelligent cloud has maintained the top position in China's AI public cloud service market for six consecutive years, with a market share of 12.2% in the financial sector [7][9] - The company has secured 48 major projects related to large models in the first half of 2025, leading in both the number and value of contracts [7][9] C-End Innovations - Baidu is actively innovating in the C-end market, with significant advancements in search and digital human technologies [11][12] - The AI-generated content in mobile search results increased from 35% in April to 64% in July, indicating a shift towards structured and intelligent responses [13][14] Long-Term Vision - Baidu's AI new business revenue crossing the 10 billion yuan mark is viewed as the beginning of a long-term strategy rather than a final victory [18][20] - The company emphasizes that AI requires sustained investment and patience, with a focus on building a technology ecosystem rather than relying on single products [20]

Core Viewpoint - Alphabet's financial performance in Q1 demonstrates the resilience of its Google search business and highlights significant growth in its cloud computing and other segments, countering narratives of decline in its core operations [2][8][12]. Google Search Performance - Google search revenue increased by 10% to $50.7 billion, with notable strength in sectors such as insurance, retail, healthcare, and travel [2]. - The introduction of multimodality features has driven search queries, with circle-to-search usage rising by 40% in the quarter [2]. Cloud Computing Growth - Google Cloud revenue surged by 28% year over year to $12.3 billion, with operating income increasing by 142% to $2.2 billion [4]. - The Google Cloud Platform (GCP) is growing faster than the overall cloud business, focusing on AI infrastructure and generative AI solutions [4]. - Alphabet plans to invest $75 billion in capital expenditures to expand data center capacity, addressing current capacity constraints [5]. YouTube and Subscription Services - YouTube ad revenue rose by 10% to $8.9 billion, contributing to a 19% increase in subscription and device revenue to $10.4 billion [6]. - YouTube has maintained its position as the No. 1 streaming service in the U.S. by watch time for the past two years [6]. Waymo Business Expansion - Waymo's robotaxi service is now delivering 250,000 paid trips per week, a fivefold increase from the previous year, with plans to expand to Atlanta, Miami, and Washington, D.C. [7]. Overall Financial Performance - Alphabet's total quarterly revenue grew by 12% (14% on a constant currency basis) to $90.2 billion, with earnings per share increasing by 49% year over year to $2.81, surpassing analyst expectations [8]. - The company repurchased $15.1 billion in shares in Q1 and announced a new $70 billion buyback plan [10]. Future Outlook - Alphabet anticipates a slight headwind in its ad business due to changes affecting Asian retailers, but remains confident in its ability to navigate macroeconomic challenges [9]. - The company is positioned favorably in the AI space, with its Gemini model and advancements in text-to-video technology [14]. - Alphabet's stock is considered undervalued, trading at a forward P/E ratio of about 18 times 2025 analyst estimates, indicating potential for long-term investment [14].