Meta, Alphabet beats ad race Wall Street expectations

Meta and Alphabet both revealed earnings and sales more than Wall Street predicted thorough AI driven ad campaigns. Meta reported a 22% year over year increase in revenue as second quarter sales jumped to $47.52 billion.

Reddit made Q2 sales of $500 million, representing a 78% annualized growth which raised the social news aggregation shares up to 20%.

Snapchat parent company Snap.Inc reported a 9% raise but did not meet the Wall Street expectations while Pinterest sales sank over at 10%.

Social technology company founder, Mark Zuckerberg announced during the earnings call: “AI helped imbue greater efficiency and gains across our ad system.”

Tech mogul finance chief, Susan Li also confirmed in a pre result briefing that US President Trump tariff decisions affected the decisions of Asian retailers on spending money in marketing.

Google and YouTube parent company, Alphabet.Inc increased an additional $10 billion to its 2025 forecast of $75 billion for capital spending which is now fixed at $85 billion.

Facebook’s Meta hiked the floor of its capital expenditures for 2026 with a stretchable budget of $66 billion to $72 billion updating the previous quote of $64 billion and $72 billion.

Artificial intelligence has improved the digital advertising and online ad market has improved since April 2025.