The results suggest Google is struggling in the latest economic phase of the pandemic, which is bringing elevated interest rates, higher transport costs and shortages of products from couches to cars to infant formula.
Google is expected to grab 29%, or the leading share, of the $602bn global online ad market in 2022, at least the 12th straight year it has been on top, according to Insider Intelligence.
Product changes to resolve antitrust concerns and rising competition from companies such as Amazon and TikTok are chipping away at ad sales. Google also cut advertising offerings and other services in Russia following the invasion of Ukraine during the first quarter.
Though Alphabet shares were down over 17% this year entering Tuesday, they have risen nearly 90% over the past two years.
