Alphabet Stock Gains 1.7% as Gemini Price Freeze Challenges 35.6% Cloud Margin

U.S. stocks rallied after Fed Governor Christopher Waller suggested a potential September rate hold. Bitcoin surged 4.6% to $80,900. Tesla, Meta, and Microsoft led gains, while Broadcom and Tyson Foods declined. Snowflake rose 21.9% on strong earnings and raised guidance. The S&P 500 and Nasdaq 100 each gained over 0.9%.

Alphabet Inc. (GOOGL) agreed to pay $716 million for solar and grid upgrades in Arkansas, benefiting Entergy Corporation (ETR). The deal highlights electricity costs as a potential constraint on AI growth. Entergy stands to gain from expanded rate base, while Alphabet faces long-term power obligations. Hedge funds increased stakes in both companies, with short interest in Entergy at 4.36% of float.

Alphabet (GOOGL) avoided a court-ordered breakup after a US judge rejected the DOJ's request to divest Google's ad exchange business. The ruling mandates operational changes, including greater access for rival ad-tech firms. This decision impacts Alphabet's business model, compliance obligations, and competitive position in digital advertising. The company has a market value of about $4.1 trillion.

A federal judge ruled Google must change its ad tech business practices but does not need to break it up. The decision follows a finding that Google illegally maintained its ad tech monopoly. Google's ad tech business generated $30 billion in revenue last year, though it has declined for 16 straight quarters. The Justice Department had sought a breakup but will evaluate next steps after the ruling.

A US judge ruled that Google must end specific ad auction practices deemed anticompetitive, but allowed it to retain its ad exchange and publisher ad server. Google must stop giving its ad exchange first access to impressions, seeing rivals' bids before submitting its own, and forcing uniform price floors. The ruling follows a 2025 finding that Google illegally monopolized the publisher ad server and open-web display ad exchange markets, with DFP holding 91% market share and AdX charging a 20% t

A federal judge upheld a monopoly finding against Google but rejected the DOJ's request to force a sale of its AdX advertising exchange. Alphabet (GOOGL) shares rose as the risk of a structural breakup faded. The company faces behavioral restrictions, and the DOJ may appeal. GOOGL trades at a P/E of 15, with 58 analysts setting a $428 price target. The pending search remedy covering $63 billion in Q2 revenue remains a primary risk.