October 30, 2024 – Google is actively developing a range of artificial intelligence products, while also heavily utilizing AI in their construction process. According to CEO Sundar Pichai, during the company’s 2024 third-quarter earnings call, “more than a quarter of Google’s new code is now generated by artificial intelligence and then reviewed and accepted by engineers.”
The integration of AI has not only enhanced Google’s production efficiency but has also directly contributed to its revenue growth. This quarter, Alphabet, Google’s parent company, reported revenues of 88.3billion.Specifically,GoogleServices,includingsearch,generated76.5 billion, representing a 13% year-on-year increase. Google Cloud, which offers AI infrastructure products to other companies, earned $11.4 billion, marking a significant 35% growth compared to the same period last year.
It’s worth noting that Google has launched several innovative AI-based products, such as the Gemini-powered customized AI chatbot “Gems,” the automatic AI note-taking feature in Google Meet, and a suite of generative AI tools designed to assist YouTube creators. Additionally, the Pixel 9 series of smartphones are equipped with a wealth of AI functionalities.
Pichai emphasized that AI is expanding the way people search and what they search for. In the cloud computing domain, AI solutions are proving to be instrumental in attracting new clients and securing larger transactions. YouTube, in particular, has achieved a remarkable milestone, with its advertising and subscription revenues surpassing $50 billion for the first time in the past four quarters.
However, Google faces antitrust challenges. The US Department of Justice has previously determined that Google holds a monopolistic position in the search and advertising markets, and the case is now entering the remedial phase. While the final outcome remains uncertain, the tech giant potentially risks being broken up.