Strong market position in the online search and video advertising market; Revenues are geographically diversified with low customer concentration risk; Significant revenue contribution from high margin products, supporting consolidated operating earnings and cash flows; Increased regulatory scrutiny across regions; and Exposure to economic cycle fluctuations as a majority of total revenues are derived from advertising. Significant financial flexibility from substantial net cash balances with cash and investments of about $95 billion and funded debt of $4 billion; and Robust internal cash flow generation, with free operating cash flow (FOCF) of about $25.2 billion over the past 12 months ended June 30, 2017, despite sizeable investments in research and development. The stable outlook reflects S&P Global Ratings' expectation that Alphabet Inc.
