Meta ad revenue jumps 26% while Google Search growth slows to 12% in Q3
In the third quarter, Meta's advertising revenue rose 26% year‑over‑year to $63.1 billion, while Google's Search division grew 12% to $63.4 billion. Both companies credit artificial‑intelligence tools for the divergence, with Meta reporting that its AI‑driven ad assistant boosted advertiser conversions by about 5% and attracted nearly 10 million users. Google disclosed capital‑expenditure plans of up to $205 billion for the year, compared with Meta's target of up to $145 billion.
Why it matters
Meta's strong ad growth could support higher earnings and cash flow, whereas Google's slower search growth may pressure its ad margins and has already contributed to a 12% drop in Alphabet's share price. Investors will watch how AI‑enhanced targeting affects future revenue trends for both firms.
Key facts
- 1Meta's ad revenue increased 26% YoY to $63.1 billion. cnbc.com
- 2Google's Search division revenue grew 12% YoY to $63.4 billion. cnbc.com
- 3Meta's AI business assistant drove almost 5% more conversions for advertisers. cnbc.com
- 4Almost 10 million advertisers used at least one Meta AI tool in Q3. cnbc.com
- 5Google projects capital expenditures of up to $205 billion this year. cnbc.com
- 6Meta expects to spend up to $145 billion on AI and other investments this year. cnbc.com
Summary written by AlphAI AI Desk from 3 of 3 sources. Not investment advice. Figures are as stated by the linked sources.