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Alphabetannounced its first-ever dividend on Thursday and a $70 billion stock buyback, cheering investors who sent the stock surging nearly 16% after the bell.

The Google parent is returning capital while spending billions of dollars on data centers to catch up with rivals on generative artificial intelligence. The dividend will be 20 cents per share.

Just three months ago, Alphabet’s Big Tech rival, Meta Platforms, announced its own first-ever dividend, a move that lifted the social media company’s stock market value by $196 billion the following day. Amazon remains the lone holdout among Big Tech firms not offering a dividend.

Alphabet beat expectations for the quarter in sales, profit and advertising – metrics that are all closely watched.

“Alphabet’s announced dividend payouts and buybacks on top of the solid earnings beat are not only a breath of fresh air for the tech market as a whole, but also a very intelligent strategy for the search engine giant going into a tough time of the year,” said Thomas Monteiro, senior analyst at Investing.com.

Alphabet’s after-hours share surge of nearly 16% following the report increased its stock market value by about $300 billion to over $2 trillion.

In a call to discuss results, CEO Sundar Pichai touted Google’s AI offerings as a boon to its core search results. “We are encouraged that we are seeing an increase in search usage among people who are using the AI overviews,” he said.

Revenue was $80.54 billion for the quarter ended March 31, compared with estimates of $78.59 billion, according to LSEG data.

The search firm’s beat on first-quarter revenue was powered by rising demand for its cloud services on the back of increasing adoption of artificial intelligence and steady advertising spending.

Google reported advertising sales rose 13% in the quarter to $61.7 billion. That compares with the average estimate of $60.2 billion, according to LSEG data.

Alphabet is coming off a fourth quarter in which ad sales missed the mark, sending shares tumbling, amid rising competition from Amazon, Facebook and new entrants like TikTok. The latter faces an uncertain future after President Biden signed a bill that would ban the popular app if it is not sold within the next nine to 12 months.

Meanwhile, Google Cloud revenue grew 28% in the first quarter, boosted by a boom in generative AI tools that rely on cloud services to deliver the technology to customers.

Alphabet’s capital expenditures were $12 billion, a 91% rise from a year prior, a figure Gabelli Funds portfolio manager Hanna Howard called “higher than anticipated.”

Still, CFO Ruth Porat said on the call with analysts that she expects such expenditures to be at that level or higher throughout the remainder of the year, as the company spends to build artificial-intelligence offerings.

Despite the surge in capital expenditures, Porat said operating margin in 2024 would be higher than last year, without elaborating.

Google’s cloud services are attractive for venture capital-backed startups developing generative AI technologies due to their pricing and ease of integration with other tools, investors and experts have previously said.

Google has touted its AI-powered chatbot, Gemini, as a panacea for automation, from coding to document creation. The software was widely criticized, however, after it was found to generate historically inaccurate images, including of former US leaders and World War Two-era German soldiers.

Google has said it is aware of the issues and is working to address them.

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Politics

Whitehall officials tried to convince Lord Gove to cover up grooming scandal, he tells Sky News

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Whitehall officials tried to convince Lord Gove to cover up grooming scandal, he tells Sky News

Whitehall officials tried to convince Lord Michael Gove to go to court to cover up details of a report into the grooming scandal in 2011, he has said, confirming Sky News reporting earlier this week.

Speaking to Sky’s Politics Hub With Sophy Ridge, the former senior cabinet minister said it is “undoubtedly the case that more should have been done” to prevent the abuse of young girls in Britain, admitting that it weighs on him.

The allegations of an attempted cover-up were first made to Sky News by former Downing Street adviser Dominic Cummings in an interview with Sky News, and the claims were substantiated by other sources as well. Mr Cummings was working for Lord Gove, who was then education secretary.

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Lord Gove explained that in 2011, he learned that the late Times journalist Andrew Norfolk, who he described as “a heroic reporter who did more than anyone to initially uncover this scandal”, was seeking to publish details of a report from Rotherham Council about the abuse and grooming of young girls.

He said: “Rotherham Council wanted to stop that happening. They wanted to go to court to prevent him publishing some details, and we in the Department for Education were asked by the council, ‘would we join in, would we be a party to that court action to stop it?’

“And I had to look at the case, advised by Dominic [Cummings] and by others, and there were some within the department, some officials who said, ‘be cautious, don’t allow this to be published, there may be risks for relatives of the victims concerned.”

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How Andrew Norfolk exposed grooming gangs

Rotherham Council also argued that publication may pose “risks” to the process of “improving in the way in which it handles” grooming cases, he continued.

The judicial review wanted by officials would have asked a judge to decide about the lawfulness of The Times’ publication plans and the consequences that would flow from this information entering the public domain.

But Lord Gove said: “My view at the time, advised by Dominic and by others within the department, was that it was definitely better for it to be published.”

“So we said to Rotherham, we will join the case, but we’re joining it on the side of the Times and Andrew Norfolk because we believe in transparency.”

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Attempted grooming scandal cover-up claim

‘Tough questions’ for Whitehall

Lord Gove went on to say that a national inquiry could see some “tough questions” asked of the Home Office about its culture and its interactions with the police.

But those questions will also be posed to two departments he led – the Department for Local Government and the Department of Education, and he said: “I think it’s right that there should be, because the nature and scale of what the victims have endured means that there’s an obligation on all of us who’ve been in any form of elected office to be honest and unsparing in looking at what went on.”

He said he “certainly didn’t have the knowledge at my command that we now do about the widespread nature of this activity”.

‘Not nearly enough’ progress made

Sophy Ridge put to Lord Gove that despite commissioning a report on what was happening to girls in care, and not seeking to block the publication of Andrew Norfolk’s reporting, he still failed to make change.

He replied: “Yes, so it is undoubtedly the case that more should have been done.”

Read more on grooming gangs:
What we do and don’t know from the data
A timeline of the scandal

He admitted that it “absolutely” weighs on him, and that “not nearly enough” progress was made on the protection of vulnerable girls.

“With the benefit of hindsight, I do wish that I had been more vehement in trying to persuade people to take appropriate action,” he said.

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Key takeaways from the Casey review

Local government ‘sought to deny scale’ of scandal

The now Spectator editor went on to say that there was “pushback, particularly but not exclusively, from those in local government” to subsequent questions about cultural background, and he said “local councillors and others sought to deny the scale of what was happening and particularly, sought to deny questioning about the identity and the background of the perpetrators”.

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He continued: “I think the right thing to do is for everyone to acknowledge that sometimes there were people who were acting from noble motives, who did not want to increase ethnic and racial anxieties, who did not to fan far-right flames, and thought that it was better to step away from the really grim reality of what was going on.

“I can understand that. But ultimately, that didn’t serve anyone. It did not serve the victims.”

The Department for Education and Rotherham Council did not respond when approached for comment earlier this week on the claims first made by Dominic Cummings, revealed by Sky News.

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Politics

MP who introduced assisted dying bill ‘confident’ it will be voted through

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MP who introduced assisted dying bill 'confident' it will be voted through

The politician who introduced the assisted dying bill has said she is “confident” MPs will push it through to the next stage on Friday.

Speaking at a news conference ahead of a Commons vote, Kim Leadbeater said: “I do feel confident we can get through tomorrow successfully.”

If new amendments are voted through on Friday, the bill to give some terminally ill adults the right to end their lives will get closer to becoming law as it will go through to the next stage in the House of Lords.

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Ms Leadbeater, who introduced the bill in October last year, said if MPs do not vote it through on Friday, “it could be another decade before this issue is brought back to parliament”.

But she said there was a “good majority” who voted for the bill at the last major vote, the second reading in November, when MPs voted it through by 330 to 275.

“There might be some small movement in the middle, some people might change their mind or will change their mind the other way,” she said.

More on Assisted Dying

“But fundamentally, I do not anticipate that that majority would be heavily eroded.”

A new YouGov poll found 72% of Britons supported the bill as it stands, including 59% of those who say they support assisted dying in principle but oppose it in practice, and 67% were opposed to the principle of euthanasia but are willing to back it in practice.

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How will the Assisted Dying Bill work?

Criticism by doctors

The Labour MP was joined by bereaved and terminally ill people at Thursday’s news conference as she made her case for a change in the law.

The proposed legislation would allow terminally ill adults, with fewer than six months to live, to apply for an assisted death, subject to approval by two doctors and a panel featuring a social worker, senior legal figure and psychiatrist.

Recently, the Royal College of Psychiatrists, the Royal College of Pathologists and the Royal College of Physicians have raised concerns about the bill.

The Royal College of Psychiatrists said the bill, in its current form, did “not meet the needs of patients”.

It has also expressed concern over the shortage of qualified psychiatrists to take part in assisted dying panels.

Read more:
Assisted dying bill does not meet needs of patients, says Royal College of Psychiatrists
Why cancer patient is praying assisted dying bill passes major vote

People in favour of assisted dying demonstrate in Parliament Square. Pic: PA
Image:
People in favour of assisted dying demonstrate in Parliament Square. Pic: PA

But Ms Leadbeater said doctors and psychiatrists have their individual views on assisted dying and royal colleges have, over the years, been neutral because of that.

“My door is open, so if they have got concerns, they can come and speak to me about those concerns,” she said.

“But what I would say is they were very keen that there was psychiatric involvement in the process, and that’s why I included it. And I do think that’s important.”

It appears the country is ready for historic change

On the eve of one of the most important votes this current cohort of MPs will likely ever cast, it was a bold, daring claim to make.

Asked by a reporter at a news conference convened in a hot, crowded room deep inside the parliamentary estate if tomorrow’s assisted dying vote was likely to pass, Kim Leadbeater replied, confidently, yes, her controversial bill would be carried.

It would take a sizeable shift to swing it the other way, and opponents of the bill have been trying very hard to convince wavering MPs to do just that.

This week alone, there have been significant interventions from the Royal Colleges of Psychiatrists and Physicians – two professions that would be at the heart of delivering this end of life care and key in making the life or death decisions.

The setting might have been political, but the message was much less so.

Ms Leadbeater was flanked by supporters with the most compelling, heart-wrenching testimonies.

Each told their own powerful story: of lonely, painful deaths, carefully planned journeys to Switzerland’s Dignitas clinic kept secret from loved ones, and the life limiting deterioration in health and dreading what new misery the next few weeks or months would bring.

It was a powerful reminder to MPs that away from the parliamentary process and bill scrutiny, ultimately, this is what the legislation is all about.

There was a (questionable) assurance from Lord Falconer that the House of Lords would respect the will of the people and the bill will pass through the upper chamber without difficulty.

The timetable is tight, but it appears the country is ready for change – a historic one.

On Friday, MPs will vote on a number of amendments proposed by Ms Leadbeater after months of discussions with the assisted dying committee, made up of MPs both for and against the bill.

At the start of the session they will vote on a person not being eligible for assisted dying if their wish to end their life was substantially motivated by factors such as not wanting to be a burden, a mental disorder, a disability, financial considerations, a lack of access to care, or suicidal ideation.

People opposed to assisted dying demonstrate in Parliament Square. Pic: PA
Image:
People opposed to assisted dying demonstrate in Parliament Square. Pic: PA

The Speaker has indicated he will also choose these amendments for MPs to vote on:

• Supported by Ms Leadbeater – Requiring the government to publish an assessment of palliative and end-of-life care within a year of the bill passing

• Supported by Ms Leadbeater – A person cannot be considered terminally ill solely because they voluntarily stopped eating or drinking

• Not supported by Ms Leadbeater – Disapply the presumption a person has capacity unless the opposite is established

• Not supported by Ms Leadbeater – Prevent section 1 of the NHS Act 2006, which sets out the NHS’ purpose, from being amended by regulations.

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Environment

E-quipment highlight: Cushman Hauler XL long bed LSV

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E-quipment highlight: Cushman Hauler XL long bed LSV

We’ve been big fans of highly capable LSVs for a while here on Electrek, and the newest Cushman Hauler XL ELiTE electric utility vehicle keeps that trend alive with an extra-long, 68.5″ aluminum bed for even more cargo-hauling capability.

The Cushman Hauler XL ELiTE’s truck-like layout, functional dash, and familiar, car-like controls make it easier to operate than an ATV with a trailer, while its 1,200 lb. bed load capacity and 1,600-pound payload capacity (plus 1,500 lb. towing capacity) beat the pants off the classic, 00’s-era Ford Ranger pickup’s 1,140 lb. payload capacity.

The Cushman’s flatbed can be upgraded to add steel drop sides, an aluminum box bed (shown, above) and other custom upfit solutions that enable fleet operators to perfectly tailor the Hauler’s capabilities to their specific needs.

You already know how to drive it


The Hauler XL features a “twin pack” of two 56.7V, 4.2 kWh ELiTE lithium-ion batteries (8.4 kWh total) developed by Samsung SDI. The batteries are expected to be good for between four to eight hours of operation, depending on load, and are backed by a 5-year battery warranty.

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What’s more, the newest Cushman features a technology that’s commonplace in cars and trucks, but still incredibly rare in the world of UTVs: regenerative braking.

“The Hauler XL … is an industry leader in bed size, vehicle rating and bed load capacity,” says Adam Harris, vice president and general manager of Cushman and E-Z-GO. “With our five-year battery warranty and patented E-brake technology, it’s built for the most difficult jobs.”

Cushman lists the Hauler XL’s manufacturer suggested retail price (MSRP) at $19,989, but dealers are advertising new ones for as low as $17,398. For that money you get a day’s worth of silent, emissions-free operation and the previously-mentioned 1,200 lb. bed capacity.

Electrek’s Take


Hauler XL ELiTE; via Cushman.
Hauler XL ELiTE; via Cushman.

Every smart fleet manager eventually asks themselves whether they need a pickup, or a payload. When they ask that question, they’re usually trying to decide between something like a Ford Maverick and an F-150, but with vehicles like the Hauler XL ELiTE, Club Car Urban UTV, or the latest weird thing Micah Toll dredged up on Alibaba, you get the bed and the payload capacity – and you get them both for $20-30,000 less than a conventional pickup.

SOURCE | IMAGES: Cushman, via Equipment World.


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