Tech Brew Ride Home · Thursday, October 29, 2026
Alphabet shares fell after reporting third-quarter negative free cash flow of $9.07 billion, driven by heavy capital expenditures of $51.4 billion for AI infrastructure. While cloud revenue beat expectations, search advertising growth decelerated as the company works to monetize AI search modes.
“Alphabet was down as much as 12% this morning, likely because they reported Q3 negative free cash flow of $9.07 billion, worse than expected.”
“Google's free cash flow went further into negative territory at $9.1 billion, a far bigger loss than analysts' expectations, reflecting the cost of the AI build-out. Google spent $51.4 billion in capital expenditures in the third quarter...”