YouTube achieved its second-best quarter with $8.92 billion in Q3 2024 revenue, driven significantly by YouTube Music's subscription growth and improved AI-powered content recommendations.

Key financial highlights:

• 12.1% year-over-year revenue growth to $8.92 billion
• Total ads and subscription revenue exceeded $50 billion over past four quarters
• Google subscription revenue (including YouTube TV, Premium, Music, NFL Sunday Ticket) up 27.7% to $10.66 billion

YouTube Music's success metrics:

• Reached 100 million subscribers in March 2024
• Gained 20 million new subscribers since 2022
• Content ID claims increased 25% year-over-year

Alphabet CEO Sundar Pichai credits this growth to YouTube Music subscriptions and AI-enhanced content recommendations. The company's AI system, powered by Gemini, has improved video content understanding and viewer preference matching, leading to more personalized recommendations.

The NFL Sunday Ticket partnership, costing YouTube $2 billion annually, has already surpassed DirecTV's previous subscriber numbers, contributing to overall growth.

Alphabet's broader performance:

• Overall sales up 15% to $88.3 billion
• Stock closed at $171.14 (up 1.66%)
• After-hours trading saw 5.5% increase
• Stock up 22.6% year-to-date

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