For Alphabet, a record fine is both a footnote and a warning

While its business hums along, it faces a challenge that has little to do with its daily performance

Not many companies can turn a $2.7 billion fine into a financial footnote.

But that is what Google’s parent company, Alphabet, did with its quarterly earnings. The results, announced on Monday, were a microcosm of the opportunities and the risks in front of the company. On one hand, it was hitting on all cylinders with its core search engine. Its various internet services were as essential as ever with the shift to smartphones. And its YouTube video platform was shaking off a short-lived boycott by big brands.

But while its business hums along, Alphabet faces a challenge that has little to do