Cloud has had over 135-153% YoY revenue growth every quarter since they started reporting Cloud revenue 11 quarters ago. It's amazingly consistent high growth.

Cloud has had over 135-153% YoY revenue growth every quarter since they started reporting Cloud revenue 11 quarters ago. It's amazingly consistent high growth. TAC (traffic acquisition costs) have exploded over this time frame. If you subtract TAC from Services revenue, the growth is merely good. Cloud revenue also seems a lot less sensitive to the recent economic downtown so far, but we'll really know after Q3. The operating losses for Cloud are also shrinking quickly. Building data centers should be capex, but I'm guessing they count R&D as opex, which makes the losses higher now even though it will pay off later like an investment. They could probably start to have operating income any time in the next 3 years.