In its fourth-quarter report, Google's parent broke out results for YouTube and its cloud services business for the first time.
The deal helps Google better compete in the wearables market dominated by Apple and Xiaomi.
“We’re delivering strong growth," CFO Ruth Porat says after Google's parent reports a 19% increase in revenue to $38.9 billion.
Google parent Alphabet reports a 24% gain in Q4 revenue but the fees Google pays to third-party search partners jumped 33%.
Google's core business brought in $24.1 billion during Q3 but it remains to be seen whether its "Other Bets" will ever be as important.
The Internet giant has been ordered to change its practices or face further financial penalties.
Since Ruth Porat became CFO last year, Alphabet has been taking "significant measures to slim down its experimental efforts."
CFO Robynne Sisco explains the reasons the company opted, unlike all but a few others, to be an early adopter of the new revenue recognition standard.
CFO Ruth Porat sees "tremendous potential" in such businesses as hardware products, apps sold through the Google Play store, and the cloud.
The $625 million acquisition of the developer of API management software accelerates Google's push into the enterprise cloud market.
Adjusted net income rose nearly 16% to $7.50 per share, but analysts were expecting earnings of $7.97 per share.
A lot of “knowledge work” today is really just the routine application of a set of rules, with some ability to identify situational errors and exceptions.
