Google Cloud made $24.8B of revenue in Q2 2026, up 82%, and $8.8B of operating income, a 36% margin. In 2025 it made $58.7B of revenue and $13.9B of operating income.
Sources: Alphabet Form 10-K for 2025 and Q2 2026 earnings release (SEC EDGAR). Analysis by The Business Engineer.
How we source: figures on this page come from the company’s own filings (SEC 10-K, 10-Q and earnings releases, or its annual report), with the period stated next to each number. Last refreshed October 2026. Our methodology.
A 3-minute explainer of Google's business model and latest numbers, built from its SEC filings. Analysis by The Business Engineer.
For some context, while Google Cloud is among the three giants of cloud, as of today, it’s a smaller cloud player compared to AWS and Microsoft.
Yet, it’s critical to highlight that Google Cloud infrastructure is the primary growth driver for Google Search and its suite of online applications (Google Docs) used by millions worldwide.
Indeed, the cloud infrastructure is a critical competitive moat for Google, which has been leveraging it to optimize the whole company around AI.
Indeed, Google’s research team developed the architecture that has powered today’s large language models (like ChatGPT).
The transformer architecture β sometimes referred to as the transformer neural network or transformer model β is an architecture that endeavors to solve sequence-to-sequence tasks while easily handling long-range dependencies.
In recent years, Google Cloud has optimized its infrastructure to run AI models through its processor called TPU.
A tensor processing unit (TPU) is a specialized integrated circuit developed by Google for neural network machine learning. The TPU is a critical component of Google’s AI Supercomputer which enables the company to develop large language models that are spurring up the current AI revolution.
Google’s AI supercomputer, comprised of thousands of TPUs, is the core of the current AI paradigm, helping Google integrate AI into any product.
The Cloud infrastructure is also monetized via APIs, which enables developers to integrate Google’s LLM infrastructure into any web application.
Google Services earned $39.5B and Cloud $8.8B; Other Bets and shared AI costs took $7.6B. Source: Alphabet quarterly earnings releases (Form 8-K, SEC EDGAR). Alphabet-level activities as described in the release. Analysis by The Business Engineer.
Google Cloud only turned a steady profit in 2023. Its operating margin was about 3% in Q3 2023, 14% across 2024, 24% across 2025 and 36% in Q2 2026.
Growth accelerated with AI demand: revenue grew 36% in 2025 and 82% year on year in Q2 2026. Alphabet also agreed in 2025 to buy the cloud security company Wiz for $32.0 billion; its 10-K says the deal is expected to close in 2026 and Wiz will join the Cloud segment.
Google Cloud includes Google Cloud Platform and Google Workspace, so it is not a like-for-like comparison with AWS. See Google Cloud vs AWS.
Indeed Google Cloud plays a key role in the development of the AI industry, as it works as the underlying infrastructure to power up large language models.
Google Cloud grew 82% to $24.8B in Q2 2026, at a 36% operating margin. Source: Alphabet quarterly earnings releases (Form 8-K, SEC EDGAR). Analysis by The Business Engineer.
Frequently asked questions
How much revenue does Google Cloud make?
$58.7B in 2025 and $24.8B in Q2 2026 (Alphabet filings).
Is Google Cloud profitable?
Yes: $13.9B of operating income in 2025 and $8.8B in Q2 2026.
What does Google Cloud include?
Google Cloud Platform (infrastructure, data and AI services) and Google Workspace.
Gennaro Cuofano is a CRO and tech executive who has worked in AI since late 2015, starting with bringing NLP, natural-language generation, voice and chatbot products to the marketing industry. His background is in law and finance: he holds a Master's degree in Law and an International MBA with an emphasis on corporate finance (LUISS Business School and the University of San Diego, 2012), and worked as a financial analyst at a real-estate investment firm in San Diego and as an assistant controller. His work focuses on business model strategy, business engineering and, more broadly, structural analysis: how companies make money, read from their own filings. He created FourWeekMBA and leads research there and at The Business Engineer, his newsletter on AI and business strategy, with over 95,000 subscribers and more than 1,000 published analyses. His writing has also appeared on Entrepreneur (for example, How to Digitize a Family Business in Europe) and HackerNoon. Find him on LinkedIn and Substack. See how we source.
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