Alphabet Seen Winning AI Race With 82% Cloud Growth as Nvidia, Micron Face Margin Risks
Updated
Updated · Yahoo Finance · Aug 7
Alphabet Seen Winning AI Race With 82% Cloud Growth as Nvidia, Micron Face Margin Risks
3 articles · Updated · Yahoo Finance · Aug 7
Summary
Alphabet is cast as the strongest long-term AI winner because it can profit both from its own models and from selling computing capacity through Google Cloud.
Google Cloud underpins that case with 82% revenue growth and a 36% operating margin, suggesting AI infrastructure demand is already translating into recurring, high-margin business.
Alphabet is also scaling aggressively, lifting 2026 capital-expenditure guidance to $195 billion-$205 billion to expand the capacity needed for AI workloads.
Nvidia and Micron are seen as more vulnerable because today’s shortages and pricing power could fade as data-center buildouts slow and new memory supply comes online.