Slack pursued an unusual direct listing, meaning it did not have banks underwrite the offering.CNBC Disruptor 50read more
Oil jumped as much as 6% on Thursday after Iran shot down a U.S. military drone, prompting President Trump to blast Tehran on Twitter.Energy Commoditiesread more
For doubters thinking the rally is just a last gasp of the decade-long bull market, chart analysts are here to prove them wrong.Marketsread more
President Donald Trump on Thursday told reporters that "you'll soon find out" whether the U.S. will strike Iran.Politicsread more
The billionaire investor believes the stock market is in a "zone of fair value" at current levels.Marketsread more
"I think there's a deceleration in the economy to the point where the railroads, the airlines, the companies, the lenders are all admitting that there's deceleration," says...Investingread more
Apple said in a letter released Thursday that tariffs could hurt its ability to compete globally.Technologyread more
Stocks rose sharply on Thursday after the Federal Reserve hinted at possible interest rate cuts as soon as next month.US Marketsread more
J.J. Abrams is teaming up with his son Henry to create a five-part Spider-Man comic book series for Marvel Entertainment.Entertainmentread more
Trump tweets after an Iranian surface-to-air missile shot down a U.S. military surveillance drone in what the U.S. calls an "unprovoked attack."Politicsread more
National Securities' Art Hogan sees the U.S.-China trade war as the market's biggest risk – not Fed policy.Trading Nationread more
Alphabet's capital expenditures in the latest quarter almost doubled, as Google continues to build out data centers for products like its cloud services.
In the second quarter, those costs jumped to $5.48 billion from $2.48 billion a year earlier, Alphabet said in its earnings report after the close of trading on Monday. Analysts on average were expecting capital expenditures of $4.19 billion, according to FactSet.
The spending surge is the latest sign that Google's cloud division, under the leadership of Diane Greene, remains committed to growth as it tries to chase down larger rivals Amazon and Microsoft. Google is also expanding its data centers for internal use, whether it's search or YouTube.
"Our view is it gives you a lens into our outlook for growth," said Ruth Porat, Alphabet's chief financial officer, in a briefing with reporters on Monday. "It's search and ads, it's newer businesses, it's also the importance of machine learning. We’re looking for additional compute capacity given our outlook for growth."
On the call with analysts on Monday, Porat elaborated on those remarks and specifically cited cloud as a new growing business with major computing needs.
"While we're ensuring that we're well-positioned to support the growth we see, we do constantly remain focused on efficiency per unit of compute," she said.
Costs in the first quarter were even higher, coming in at $7.3 billion, because of a $2.4 billion charge for buying Chelsea Market in New York. Excluding the quarter, the second quarter marked the biggest percentage increase in capital expenditures since 2014.
Earlier this year, Google gave the public its first clear sense of the size of the cloud business. CEO Sundar Pichai, told analysts in February that between the G Suite productivity apps and the Google public cloud for hosting apps, the company was generating $1 billion in revenue per quarter.
Alphabet provides a limited view about growth. In the first and second quarter there were no major cloud updates — only that cloud was a category that contributed to revenue expansion for Alphabet as a whole. For example, on Monday's call Pichai mentioned Target as a "key win" for Google's cloud in the quarter.
Google's determination to grow in the cloud is reflected in ways other than infrastructure spending. Across Alphabet, cloud has been one of the biggest areas for hiring in the past two years. Porat said on Monday that sales and marketing costs were up in part because of sales and marketing headcount growth for cloud, followed by advertising investments for cloud and the Google Assistant.
— CNBC's Josh Lipton contributed to this report.