Alphabet Inc. saw its shares tumble by more than 9% in after-hours trading on Tuesday following a fourth-quarter earnings report that fell short of Wall Street’s revenue expectations. The company also announced plans to invest $75 billion in capital expenditures in 2025, a move that signals aggressive expansion in artificial intelligence but has raised concerns among investors.

Despite missing revenue projections, Alphabet’s earnings per share slightly surpassed expectations. The company reported total revenue of $96.47 billion, just shy of the $96.56 billion analysts anticipated. Meanwhile, Google Cloud revenue came in lower than expected at $11.96 billion, compared to the projected $12.19 billion.

Growth in Alphabet’s core businesses also showed signs of slowing. Advertising revenue for YouTube reached $10.47 billion, slightly exceeding expectations but growing at a slower pace than the previous year. The company’s search business and overall services unit also expanded at a lower rate than in the same quarter last year.

Alphabet’s significant investment in AI infrastructure contributed to investor concerns. The company’s planned $75 billion in capital expenditures for 2025 exceeded Wall Street estimates, with spending focused on expanding server capacity and data centers. CFO Anat Ashkenazi stated that this investment was necessary to meet growing demand for AI-related services, though she acknowledged supply constraints had impacted Google Cloud’s revenue growth.

Another area of concern was Alphabet’s Other Bets segment, which includes projects such as its self-driving car division, Waymo. The unit reported $400 million in revenue for the quarter, significantly below the $616.4 million expected. While Waymo has been expanding its autonomous taxi operations in major U.S. cities and