Oct 29 (Reuters) - Google-parent Alphabet beat

Wall Street estimates for third-quarter revenue on Wednesday, as

both its core advertising business and cloud computing unit

showed steady growth.

The company reported total revenue of $102.35 billion for

the quarter, compared with analysts' average estimate of $99.89

billion, according to data compiled by LSEG.

Google Cloud remained one of Alphabet's fastest-growing

segments, benefiting from surging enterprise demand for

AI-powered infrastructure and data analytics services.

The unit posted revenue of $15.16 billion, topping estimates

of $14.72 billion. The performance was likely boosted by

burgeoning enterprise demand for its AI infrastructure.

The unit continues to close the gap with larger rivals

Microsoft Azure and Amazon Web Services, aided by

strong take-up of Vertex AI and custom Tensor Processing Units.

Competition in the broader AI and cloud market is

intensifying, with rivals aggressively cutting prices and

introducing new generative-AI capabilities.

Alphabet's advertising unit, which brings is the vast

majority of the company's revenue, has been competing in a

crowded field of rivals vying for more ad dollars as lower

interest rates are expected to lift the economy.

However, analysts have pointed to cautious spending from

advertisers in some sectors grappling with economic uncertainty

due to pressures from tariff costs and a rapidly evolving global

trading landscape.

Still, Wall Street expects the company to benefit from

advertisers moving away from experimental ad platforms like

Snapchat and others.

The results come just days after Microsoft ( MSFT ) and

SoftBank Group-backed OpenAI unveiled "Atlas," an

AI-powered browser aimed at directly competing with Google's

core search engine and browser stack.

The launch represents one of the most significant challenges

to Google's search dominance in years and will be a key focus

for investors listening for management's response to the rising

competitive threat to its most lucrative business.

(Reporting by Akash Sriram in Bengaluru; Editing by Anil

D'Silva)