[CydeWeys]

Kind of crazy to see GCP only losing $480M in a quarter. I know that sounds ridiculous, but looks like it's on track to actually start posting a profit within a year? That's nice!

[bushbaba]

Google Cloud also includes Google Workplaces (Faka gSuite, faka Google Apps). That's a high profit area that might be masking GCP's losses. For all we know GCP's losses have remained the same with the growth from Google Workplaces hiding it.

[QuercusMax]

Isn't it Google Workspace, not Workplace? I work for Google and I can't even keep it straight so I don't blame you.

[ROTMetro]

What's your point? When I managed IT I would have considered those 'cloud apps' as opposed to onsite/self hosted, and paying for them would have come out of my OpEx not CapEx budgets. Are they not Cloud?

[ctvo]

The point is it paints them as a stronger competitor to AMZN and MSFT when the product categories are different, regardless of how customers do accounting.

[gundmc]

As far as I'm aware, Microsoft also includes O365 and LinkedIn revenues under their cloud segment.

[ctvo]

I'm not sure that changes my statement materially.

[nickysielicki]

Same playbook Microsoft uses, where Azure includes O365 subscriptions.

[scarface74]

This is not true.

It comes under “Productivity and Business Processes” which is separate from “Intelligent Cloud”

https://www.microsoft.com/en-us/Investor/earnings/FY-2023-Q2...

[onlyrealcuzzo]

If growth rates continue (~32% revenue, ~21% expenses):

($7,315B * 1.32^5) - ($7,795B * 1.21^5) = $9B profit per year (in 5 years).

That's one of the top 150 profitable companies in the world - with a better growth rate than nearly all of the companies ahead of it...