Google Cloud Growth Was Actually Capacity-Constrained — Could Have Grown Faster
TechCrunch·medium signal
Despite Google Cloud surpassing $20B quarterly revenue for the first time with 63% growth, Alphabet executives disclosed that growth was capacity-constrained — meaning actual demand exceeded their ability to serve it. This mirrors Microsoft's ongoing supply constraints and suggests the entire hyperscaler tier is hitting physical infrastructure limits simultaneously, even as they commit hundreds of billions to expansion.