The parent organization of Google, Alphabet, had earned more profit than expected with the splurge of ad sale after the trading hours. To be precise, it earned revenue worth $32.7 billion in the past three months, which is about 26% more than the revenue earned during this period of time, the previous year. However, the fine imposed by the European Union on the mobile operating system of the Google had hurt the profit of the company by $5 billion.
The whopping fine was imposed on Alphabet as the EU alleged the company to be using the mobile operating system in an illegal manner to maintain its A1 position in the search operations. This fine has depleted a remarkable slice of profit from the company’s account.
Sundar Pichai, the CEO of Google, stated that it is not possible to speculate the outcomes of the business from the present proceedings. He also added that it is not possible to speculate the aftereffects of GDPR or the General Data Protection Regulation, which is the latest privacy law of Europe, on the company.
On the contrary, the investors are not eyeing the fine imposed by the EU as a hurtful action. They are delighted with the robust and consistent performance of the company even in the stringent market. However, it is also important to keep a track of the appeal presented by Google after the rule imposed by Europe comes into effect. The EU has demanded implementation of huge changes on the Android platform of the tech giant, which may severely sabotage the profit of the company.
Many of the analysts believe that the fine has paved the path towards a destination that may impose tremendous harm on the established empire of the company. However, Sundar Pichai believes that his team will be able to design a plan that will enable the users to access Android at a larger scale.