In 2025, Google’s parent company Alphabet achieved a historic revenue milestone, surpassing $400 billion, primarily driven by its AI model ecosystem, Gemini. The fourth quarter alone saw revenues reach $402.8 billion, a 15% year-over-year increase, due to AI integration across various services including Search, Cloud, advertising, and enterprise products. The Gemini App gained immense traction, boasting over 750 million monthly active users, marking significant growth in user engagement and session complexity. The AI’s enterprise solutions resulted in more than 8 million seats sold and a booming Google Cloud sector, which experienced a 48% year-over-year growth, generating $17.7 billion in Q4. Additionally, AI enhanced Google’s Search capabilities, increasing ad relevance and generating substantial revenue from YouTube, which exceeded $60 billion. With plans for an increased investment of approximately $175-$185 billion in AI infrastructure, Alphabet aims to further solidify its market lead.
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