{"id":41752,"date":"2021-02-03T11:16:25","date_gmt":"2021-02-03T11:16:25","guid":{"rendered":"http:\/\/icloud.pe\/blog\/?guid=433b286bbe90d8d8038842fb81d838b4"},"modified":"2021-02-03T11:16:25","modified_gmt":"2021-02-03T11:16:25","slug":"google-cloud-lost-4-1-billion-in-2020","status":"publish","type":"post","link":"https:\/\/icloud.pe\/blog\/google-cloud-lost-4-1-billion-in-2020\/","title":{"rendered":"Google Cloud lost \u00a34.1 billion in 2020"},"content":{"rendered":"


\n Sabina Weston<\/a><\/span>
\n <\/span><\/p>\n

\n
\n
3 Feb, 2021<\/span><\/div>\n<\/p><\/div>\n<\/div>\n

\n<\/a><\/p>\n

\n

Google Cloud has reported a loss of $5.61 billion (\u00a34.1bn) for the fiscal year 2020, which ended on 31 December.<\/p>\n

The\u00a0cloud<\/a>\u00a0business brought in revenue of $3.83 billion (\u00a32.8 billion) and recorded a loss\u00a0$1.24 billion (\u00a3900 million) for Q4 2020, Google revealed on Tuesday.\u00a0This marks the first time the company has announced the operating income metric for Google Cloud.<\/p>\n

With 2020 dubbed as\u00a0the year of the cloud<\/a>\u00a0due to the fact it’s helped keep people\u00a0connected during the pandemic, an operating loss of $5.61 billion may seem like a grim result for Google.\u00a0<\/p>\n

<\/p>\n

\nHowever, the company also managed to deliver $13 billion (\u00a39.53 billion) of revenue during 2020, a steady increase from $5.8 billion (\u00a34.25 billion) in 2018 and $8.9 billion (\u00a36.53 billion) in 2019. Despite mounting losses over the year –\u00a0$4.3 billion in 2018 and $4.6 billion in 2019 –\u00a0this has been\u00a0attributed to investment in new data centres\u00a0as Google Cloud expands its operations.\u00a0<\/p>\n

In 2020, the cloud giant launched four new cloud regions in Indonesia, South Korea, and the US, and\u00a0announced<\/a>\u00a0another four to come\u00a0in Qatar, Spain, Italy, and France.<\/p>\n

On an earnings call with investors, CEO Sundar Pichai said that Google Cloud will continue to invest going forward.<\/p>\n

\u201cThe market dynamics and our momentum in the context of the market is the framework in which we are thinking about the scale of investments –\u00a0and the pace of investments,\u201d he said, adding that the cloud giant is \u201cdefinitely investing ahead\u201d in order to ensure that the company is \u201cable to serve the customers globally across all the offerings they are interested in\u201d.<\/p>\n

When it comes to\u00a0Google<\/a>\u00a0as a whole, the tech giant reported Q4 revenues of $56.9 billion (\u00a341.73 billion) which, according to\u00a0CFO<\/a>\u00a0Ruth Porat, \u201cwas driven by Search and\u00a0YouTube<\/a>, as consumer and business activity recovered from earlier in the year\u201d.<\/p>\n

Porat also touched on Google Cloud\u2019s results, adding that\u00a0Workspace<\/a>\u00a0is experiencing strong growth among larger businesses, \u201cwhich are signing meaningful, long-term commitment agreements\u201d.<\/p>\n

Google Cloud competitor\u00a0AWS<\/a>\u00a0reported revenues of $12.74 billion (\u00a39.34 billion) and an operating income of $3.56 billion (\u00a32.6 billion) for Q4 alone. For 2020, AWS\u2019s operating income was $13.5 billion (\u00a39.89 billion). <\/p>\n<\/p><\/div>\n","protected":false},"excerpt":{"rendered":"

Sabina Weston<\/p>\n

3 Feb, 2021 <\/p>\n

Google Cloud has reported a loss of $5.61 billion (\u00a34.1bn) for the fiscal year 2020, which ended on 31 December.
\nThe\u00a0cloud\u00a0business brought in revenue of $3.83 billion (\u00a32.8 billion) and recorde…<\/p>\n","protected":false},"author":627,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-41752","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/posts\/41752","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/users\/627"}],"replies":[{"embeddable":true,"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/comments?post=41752"}],"version-history":[{"count":1,"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/posts\/41752\/revisions"}],"predecessor-version":[{"id":41753,"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/posts\/41752\/revisions\/41753"}],"wp:attachment":[{"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/media?parent=41752"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/categories?post=41752"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/icloud.pe\/blog\/wp-json\/wp\/v2\/tags?post=41752"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}