00:00 Speaker A
I think when you’re looking at Amazon and at Alphabet, those were your two strongest reports that we had. When you’re looking at Amazon, you saw custom chip sales, 2.1 million over the last 12 months. The retail business margins were still good. Obviously, the elements around Anthropic and around OpenAI, all of that was very positive and um AWS growth was good. I do think Alphabet was probably the strongest when you look at some of the terms of um over 60% growth and cloud, ad and search. A year ago, we were all concerned what those numbers were going to look like and here they just like knocked them out of the park. paid subscribers were up, the backlog doubled. The others, Microsoft just kind of did what we thought it might do. So, nothing extremely exciting, except you did see co-pilot numbers go up. But meta, I mean, it’s just we continue to be concerned around meta. We’re actually underweight meta in our portfolios for our clients. There’s too much vagueness there, raising capex without really telling us how revenue is going to come from that. How are they going to pay for that? Daily active users down, just a lot of negative news there.
01:31 Speaker B
You’ve got this ramp up of the AI build out, but how is that really going to play out? And they also had missed on some user metrics. Compared to the rest, yeah, Meta has been the underperformer here.
01:45 Speaker C
It was a good quarter for Google. That cloud business rocked it, that search business crushed it.
01:50 Speaker B
It was a fantastic quarter for Google. I mean, Google Google is the outperformer here, the standout out of these big tech players. If you take a look at what they reported, as you mentioned, cloud unit, 20% growth, AI consumer services, uh saw its best quarter on record. You had Gemini, Enterprise Gemini, which increased 40% quarter over quarter. It was gangbusters. So, even if they’re spending more, look, the street is rewarding Alphabet for spending more.
02:27 Speaker C
Every single quarter, YouTube is an absolute juggernaut. I mean, subscriptions, viewers, I mean, you name it, it is a major, it’s a major lifeblood to all things Alphabet.
02:44 Speaker B
Completely. And as AI gets better and better, there’s just more generation of content that is going on YouTube and the hours spent uh and their metrics are just off the charts. So, you can expect that uh that YouTube and all these stream everything that has to do with streaming is going to go gangbusters when it comes to AI.
