[MarkMc]

26% revenue growth for such a large company is astounding. Google's growth machine seems to have lasted much longer than people expected.

[panarky]

26% is a crazy high growth rate for a company with 89,000 employees.

Even more amazing is that it's actually accelerating:

Q2 2018 vs. 2017 +26%

Q2 2017 vs. 2016 +21%

Q2 2016 vs. 2015 +21%

Q2 2015 vs. 2014 +11%

Q2 2014 vs. 2013 +21%

Q2 2013 vs. 2012 +11%

I don't think I've ever seen this with another big company.

Truly astounding.

[tim333]

I guess maybe the restructuring from Google to Alphabet worked. The idea was based on Berkshire Hathaway, another company with unusual growth. (http://www.berkshirehathaway.com/letters/2017ltr.pdf)

[notatoad]

that seems like a strange conclusion, since a huge majority of the revenue and growth is still coming from Google.

[tim333]

I think one of the advantages of that structure is the head of Google now just focuses on Google instead of trying to think about a dozen other businesses as well.

[Cthulhu_]

Indeed, focus is a great thing. Although weirdly enough, Android is still part of Google as well; you'd think that'd be a prime candidate to move alongside Google as its own venture.

[RugnirViking]

The idea may be that android benefits a lot more from integration with other google products. Although I'm not sure on how inter-alphabet cooperation is going.

[agumonkey]

I wonder what's the idea behind google growth ... maybe android apps improvements got them more visits/ads

[Johnie]

Patrick Pichette always had a saying internally that 20% is the magic number. If you can keep growing 20% YoY, investors will let you do whatever you want.

[std_throwaway]

I fear the times when they can't achieve those 20% and the winds start to change massively.

[zjaffee]

I think a big part of it is how over the past few years, the internet has truly gone mainstream in a way that it hadn't prior, namely the ad spend online, is starting to catch up with the time spent online as compared to other platforms such as TV, print, ect.

[TheSpiceIsLife]

I believe 2017 was the year online ad spending passed television.

A quick search, using these terms: digital ad spend surpasses tv, shows multiple sources confirm my belief.

[lazharichir]

Yep, and they are doing their thing in new territories, with their stronghold (ad) still going up, and technology changing allows for even further opportunities there (voice, home, and so on).

[DEADBEEFC0FFEE]

Ad delivery still has some optimising opportunities, so still grow to be had there. Better ad placement means more valuable ads.