Amazon Web Services' Q2 Was Good. Google Cloud's Was Better. Here's Why It Matters.

Published August 4, 2026 · Category: Finance

Overview

With revenue growth of nearly 37% and a year-over-year improvement in operating income of more than 63%, there's no denying Amazon's (NASDAQ: AMZN) cloud computing arm experienced a fantastic second quarter. Shareholders have every reason to be happy.

Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) investors, however, have even more reason to celebrate. The company's Google Cloud business grew its top line by nearly 82%, resulting in operating income growth of over 200%.

Details

There's an important footnote to these percentage-based comparisons: Google's cloud computing business started from a markedly smaller baseline, making it easier for Alphabet to produce a relatively bigger leap. There's another footnote to add to the numbers, though: Google Cloud is gaining market share, while Amazon is losing it.

Continue reading

Source

Originally published at www.fool.com.

Related Articles

• Foreigners are buying fewer U.S. properties, but luxury homebuilders still draw them in
• Polymarket in talks for fundraising round at more than $20 billion valuation
• Philadelphia Fed President Paulson content with rates at current level, but keeping an open mind