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"Indeed, a couple of years ago, it was somewhat easy to foresee that the narrative around the future of search would likely continue to sour. It did, but the details have been somewhat more difficult to be right about. For example, since the rise of GenAI and chatbots, one common concern has been a potential double whammy for incumbents such as Google (NASDAQ:GOOG)(NASDAQ:GOOGL), i.e. GenAI queries are harder to monetize and at the same time, the cost to serve such queries would be materially higher than traditional search queries. I doubt anyone was expecting Google's operating margin would go higher, from 30.6% in 2021 to 32.1% in 2024."

mbi-deepdives.com: Back to Google!

Another market concern has been that GOOG/GGOGL has been transitioning from a traditional "capital light" business to one that is now more capital intensive. Alphabet's projected capital spend for 2025 being a "whopping" $75 Billion. I'm less concerned about capital spending if the returns on that capital remain consistently high. Alphabet's ROIC has averages 32% over the last 6 years. A long as they can maintain returns like that going forward, as a recent shareholder, I say invest away!

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