Alphabet, Google’s parent, said first-quarter revenue rose 22 percent on the back of growth in its cloud business, the Wall Street Journal reported on Tuesday.

Alphabet’s first-quarter revenue was about $110 billion, beating market expectations, the report said. Net profit rose 81 percent from a year earlier to $62.6 billion. The stock rose more than 6 percent in after-hours trading after the results.

Google Cloud, which includes cloud infrastructure and the productivity platform Google Workspace, drove the strong results. First-quarter revenue in the Google Cloud segment rose 63 percent from a year earlier to $20 billion. Cloud backlog also increased to $460 billion from $240 billion the previous quarter.

Alphabet CEO Sundar Pichai (순다 피차이) said, "AI is igniting every part of the business." Alphabet is investing aggressively in AI model development and data center construction. This year’s capital spending plan is $175 billion to $185 billion, nearly double the $91 billion to $93 billion planned for 2025.

Google last week unveiled its eighth-generation Tensor Processing Unit, aiming to expand its stake in the AI chip race. Google separately introduced an inference chip that answers user queries and a chip for training AI models.

Earlier, Google launched its Gemini 3 AI model last November. As Gemini took some market share from ChatGPT, OpenAI did not meet its annual revenue target last year, the WSJ reported.

Google is also stepping up efforts to add AI to its existing search engine. Its 'AI Mode,' launched last year, provides search results in a chatbot format. Standard search also provides 'AI Overviews' that display a summary of results at the top.

First-quarter search revenue rose 19 percent from a year earlier to $60.4 billion. Alphabet shares rose 65 percent last year and are up about 10 percent this year. Alphabet’s market value topped $4 trillion early this year.