<<“Google had a very good quarter, especially given the continued macro-
economic downturn. While most of the world's largest economies shrank,
Google's year-over-year revenues were up 3%. These results highlight
the enduring strength of our business model and our responsible
efforts to manage expenses in a way that puts us in a good position
for the economic upturn, when it occurs,” said Eric Schmidt, CEO of
Google. “We remain focused on investing in technical innovation to
drive growth in our core and new businesses.”>>

>> http://groups.google.com/group/GooglePress/browse_thread/thread/638198a492000b9a

The Washington Post TechCrunch has an article by Erick Schonfeld about how Google showed increased net revenue from decreased sequential revenue. They had 378 fewer employees than Q1 and reduced their capital expenditures.

http://www.washingtonpost.com/wp-dyn/content/article/2009/07/17/AR2009071702080.html