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Google employees questioned leadership about cost cuts, layoffs, and declining morale at an all-hands meeting after Q1 earnings beat estimates. CEO Sundar Pichai said most layoffs will be completed in the first half of 2024, with a much smaller scale in the second half. CFO Ruth Porat said expenses grew faster than revenue, which isn't sustainable, and the focus is investing in growth areas. Porat defended share buybacks and dividends, saying cash can't just be drained and the board has fiduciary duties.

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Google employees expressed frustration to CEO Sundar Pichai and CFO Ruth Porat over cost cuts and lack of pay raises despite strong profits. Workers reported a significant drop in morale and increased distrust between leadership and staff. The top concern was an absence of meaningful pay bumps while the company hit record earnings. Porat said expenses had outpaced revenue recently, which isn't sustainable. Pichai acknowledged overhiring during COVID and the need to rein in spending now. Pichai outlined growing costs while moderating the pace of spending increases. The meeting followed recent layoffs, return-to-office orders, and protests over military contracts.

Google Employees Express Frustration Over Cost Cuts and Lack of Pay Raises to CEO and CFO

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D.A. Davidson analyst Gil Luria predicts a significant 28% drop in Nvidia's stock price from $864 to a target of $620 over the next year. Luria predicts major tech companies like Google, Amazon, Meta, and Microsoft will reach GPU capacity needs, reducing demand growth for Nvidia's chips. Some big customers are also turning to Nvidia's rival AMD for AI chips that are claimed to be better than Nvidia's for certain uses. While most analysts are bullish on Nvidia, others share concerns about high expectations not being sustainable and risks from tensions with China.

Analyst Challenges Nvidia's AI Dominance, Predicts 28% Plunge in Stock Price

⏲ 0:40 👁 590K

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