Alphabet added nearly 5,000 new employees in 1Q18
As discussed earlier in this series, Alphabet (GOOGL) had another stellar quarter in 1Q18, with revenue surging by 25.8% YoY (year-over-year). Google’s headcount rose again in 1Q18, meaning its headcount has increased in each quarter for over five years. Google reported an increase in headcount of nearly 5,000 to 85,050, up 14.9% from 1Q17.
A good chunk of that came from Google’s acquisition of over 2,000 HTC employees as part of a $1.1 billion deal geared toward the Internet giant’s hardware push. Google hopes to compete in the premium smartphone space with the likes of Apple and Samsung (SSNLF). However, it appears that its Pixel smartphone has not garnered a significant market share yet.
Alphabet has added several employees in its cloud push
Apart from the 2,000 HTC employees, Google hired 3,000 other employees in 1Q18, hiring aggressively in its cloud-computing segment. The tech giant is splurging on its emerging businesses, especially cloud, as it ramps up the capacity to gain ground on leaders Amazon Web Services and Microsoft Azure.
In 4Q17, Google CEO Sundar Pichai disclosed Google’s cloud revenue for the first time as it crossed $1 billion in a quarter for Google Cloud Platform and G Suite. However, Pichai did not update the figure in 1Q18. In comparison, Amazon (AMZN) recorded revenue of $5.2 billion in 4Q17.