Shares of Google parent Alphabet soared to all-time highs Monday evening, after the company posted a surge in ad revenue that partially made up for a record-breaking $5 billion fine from the EU.
MarketWatch tech reporter Max Cherney said that even recent backlash over ad placement on the site won't ultimately deter customers.
"Google has to make sure their advertising clients are happy with the placement of their ads," he told Cheddar after the results. "Even though Google has struggled with the issue, and YouTube specifically...at the end of the day Google offers very valuable advertising real estate and most, if not all, of their customers end up going back."
Advertising revenue for the quarter rose nearly 25 percent to $28.1 billion in the second quarter. That increase came despite a [CNN report in April](https://money.cnn.com/2018/04/19/technology/youtube-ads-extreme-content-investigation/index.html) that found ads for 300 companies, from Adidas to Hershey to Netflix, appeared next to questionable YouTube content. The company had been plagued by similar scandals throughout last year.
Still, research firm eMarketer estimates Google will control 31 percent of the digital ad market this year.
On the company's conference call, CFO Ruth Porat said, "One of the biggest opportunities for investment continues to be our ads business, where we're continuing to invest meaningfully."
While the EU fine, announced last week as a penalty for abusing the market dominance of its Android operating system, did eat into profit, on an adjusted basis the company posted earnings of $11.75 a share, ahead of analyst estimates for $9.59.
Another good signーAlphabet also saw slowing growth in its so-called traffic acquisition costs, or how much the company pays to drive views to its sites.
Overall revenue came in at $32.7 billion for the quarter. Sales from its "Other Bets", which include Google's cloud business and hardware division, rose nearly 50 percent to $145 million.
For full interview, [click here](https://cheddar.com/videos/alphabet-hits-all-time-high-after-reporting-q2-earnings).
Nvidia reported a 56% increase in second-quarter revenue and a 59% rise in net income compared to a year ago.
The Rev. Al Sharpton is set to lead a protest march on Wall Street to urge corporate America to resist the Trump administration’s campaign to roll back diversity, equity and inclusion initiatives. The New York civil rights leader will join clergy, labor and community leaders Thursday in a demonstration through Manhattan’s Financial District that’s timed with the anniversary of the Civil Rights-era March on Washington in 1963. Sharpton called DEI the “civil rights fight of our generation." He and other Black leaders have called for boycotting American retailers that scaled backed policies and programs aimed at bolstering diversity and reducing discrimination in their ranks.
President Donald Trump's administration last month awarded a $1.2 billion contract to build and operate what's expected to become the nation’s largest immigration detention complex to a tiny Virginia firm with no experience running correction facilities.
Netflix CEO Ted Sarandos claims audiences don't want to watch Netflix movies in theaters, but that seems not to be the case recently.
Chipmaker Nvidia is poised to release a quarterly report that could provide a better sense of whether the stock market has been riding an overhyped artificial intelligence bubble or is being propelled by a technological boom that’s still gathering momentum.
Cracker Barrel said late Tuesday it’s returning to its old logo after critics — including President Donald Trump — protested the company’s plan to modernize.
Low-value imports are losing their duty-free status in the U.S. this week as part of President Donald Trump's agenda for making the nation less dependent on foreign goods. A widely used customs exemption for international shipments worth $800 or less is set to end starting on Friday. Trump already ended the “de minimis” rule for inexpensive items sent from China and Hong Kong, but having to pay import taxes on small parcels from everywhere else likely will be a big change for some small businesses and online shoppers. Purchases that previously entered the U.S. without needing to clear customs will be subject to the origin country’s tariff rate, which can range from 10% to 50%.
Southwest Airlines will soon require plus-size travelers to pay for an extra seat in advance if they can't fit within the armrests of one seat. This change is part of several updates the airline is making. The new rule starts on Jan. 27, the same day Southwest begins assigning seats. Currently, plus-size passengers can pay for an extra seat in advance and later get a refund, or request a free extra seat at the airport. Under the new policy, refunds are still possible but not guaranteed. Southwest said in a statement it is updating policies to prepare for assigned seating next year.
Cracker Barrel is sticking with its new logo. For now. But the chain is also apologizing to fans who were angered when the change was announced last week.
Elon Musk on Monday targeted Apple and OpenAI in an antitrust lawsuit alleging that the iPhone maker and the ChatGPT maker are teaming up to thwart competition in artificial intelligence.
