Baidu Q2 2026: AI Revenue Half of Core, GPU Cloud Surges 283%

The quarter crystallizes Baidu's awkward transition: AI now carries half of core revenue and GPU cloud is compounding fast, yet the ad drag and a 26% per-ADS miss show the cost of building that infrastructure still lands squarely on near-term earnings. The absence of guidance is the tell — management is either unwilling to underwrite the AI spending curve or cannot see through the ad decline. Whether GPU cloud's growth rate holds as capex intensifies, and whether AI revenue can offset advertising erosion, is the open question for the next print.