Alphabet's Google Cloud reported second-quarter revenue of $24.8 billion, an 82% year-over-year increase, while operating income more than tripled to $8.8 billion. The segment margin expanded from 20.6% to 35.5%. The company also raised its 2026 capital expenditure (capex) guidance to $195 billion-$205 billion, up from a prior range of $180 billion-$190 billion, primarily to support AI infrastructure. CEO Sundar Pichai stated that Google Cloud's momentum is driven by its integrated AI portfolio, including custom Tensor Processing Units (TPU) chips and Gemini models.