Alphabet, which owns Google, reported a 24% year-on-year increase in revenues for the fourth quarter to 26.1 billion US dollars on a constant currency basis. The company said advertising revenue growth was driven by "mobile search with ongoing strength in YouTube and programmatic. We also had substantial growth in other revenues from hardware, Play and Cloud."
Sundar Pichai, CEO of Alphabet, added: "Computing is moving from a mobile-first to AI-first with more universal ambient and intelligent computing that you can interact with naturally, all made smarter by the progress we are making with machine learning. 2016 was the year that this became central to who we are as a company and the products that we built. We had more than 350 launches powered by machine learning across areas like search, maps, messaging and Google Play.
"You've heard lots of these examples; easier e-mail replies and inbox, better YouTube recommendations, the incredible cameras on our Pixel phones, and smarter bidding for advertisers in AdWords.
"This quarter, using neural machine translation, we have improved our translation ability more in one single leap than all our improvements over the last 10 years combined. We'll be rolling neural machine translation out across to more than 100 languages available in Google Translate in 2017 and also for all of our Cloud customers through the Google Cloud Translation API." source: Alphabet transcript
For more on the evolution of artificial intelligence, please see my recent report on deep learning for STL Partners.