The scrutiny Alphabet faces from investors on Monday is likely focused most on the effect that the Google cloud outage had on consumers and some of its most prominent customers.
During the weekend outage, cloud-reliant companies such as Shopify (SHOP - Get Report) , Uber (UBER) , Sony (SNE - Get Report) PlayStation Network, and Snapchat (SNAP - Get Report) went down alongside Alphabet's myriad of services such as YouTube and Gmail.
"We are experiencing high levels of network congestion in the eastern USA, affecting multiple service in Google Cloud, GSuite and YouTube," the company said on Sunday. "Users may see slow performance or intermittent errors."
A source of the issue was not identified and took four hours to come to a resolution. The company said it is investigating the cause of the service outage.
The results of the investigation will be pivotal as the outage could encourage customers to evaluate alternative cloud options, such as the dominant Microsoft (MSFT - Get Report) Azure or Amazon (AMZN - Get Report) AWS cloud products.
While more speculative, the possibility of an antitrust lawsuit against Alphabet by the Department of Justice is potentially more damning in the long term if it materializes.
The WSJ reported on Saturday that the Federal Trade Commission (FTC) agreed to give the Justice Department jurisdiction over Google, threatening to bring a heavier hand down on the company's lucrative position in online advertising.
ALPHABET INC : BOFA MERRILL LYNCH SAYS DOJ PROBE IMPLICATIONS COULD INCLUDE REGULATIONS ON BUSINESS PRACTICES, OR ANTITRUST PROBE LEADING TO BREAKUP - RTRS— Martin Baccardax (@mdbaccardax) June 3, 2019
The potential for domestic interference in the company's business model adds to the company's problems abroad, which has led to billions in fines from European regulators over breaches of GDPR rules and restrictions handed down by Chinese officials.
As the Sino-American trade war progresses, the company could well appear on the forthcoming list of "Unreliable Entities" being prepared by the Chinese government in an effort to respond to the U.S. blacklisting of Huawei Technologies last month.
"Foreign enterprises, organizations and individuals that do not comply with market rules, violate the spirit of contract, block or cut supplies to Chinese firms with non-commercial purposes, and seriously damage the legitimate rights and interests of Chinese enterprises, will be added to the list of unreliable entities," Commerce Ministry spokesman Gao Feng said Friday.
For all you need to know amidst the uncertainty, tune in to Real Money's Stock of the Day coverage.