In its Q2 2026 investor letter, Baron Opportunity Fund highlighted Alphabet's strong performance in AI, noting that Google I/O 2026 revealed Alphabet processes 3.2 quadrillion tokens monthly, a sevenfold year-over-year increase, and the Gemini app surpassed 900 million monthly active users. Google Cloud revenue accelerated to 63% year-over-year growth, a five-year high, with operating margins expanding to 33% and the cloud backlog nearly doubling sequentially to approximately $462 billion.