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Google’s $75 Billion AI Investment Pays Off with Strong Growth in First Quarter

Sakwa Kombo by Sakwa Kombo
April 25, 2025
in News
Reading Time: 2 mins read
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Returns on AI: Google Q1 Highlights Impact of Massive Investment

Artificial intelligence is now the backbone of technological innovation, economic competition, and global strategy for most tech giants. Google’s parent company, Alphabet, has invested $75 billion in AI development, and this investment appears to already have some returns based on the company’s Q1 results.

Google’s integration of AI in Search has seen a growth in the number and types of questions that can be answered. This has led to AI Overviews growing to 1.5 billion users per month.

The US company is now counting on AI Overviews to strengthen its lead in search and plans to expand the feature’s availability globally across more users and search queries.

In March, Google Labs introduced AI Mode, an experimental feature enhancing AI Overviews with advanced reasoning, thinking, and multimodal abilities for complex queries.

“On average, AI Mode queries are twice as long as traditional search queries. We are getting really positive feedback from early users about its design, fast response time, and ability to understand complex, nuanced questions,” the company wrote in a blog post.

Google is experiencing significant growth in multimodal interactions: Circle to Search adoption has expanded to over 250 million devices with a nearly 40% usage jump this quarter, and Lens visual searches have grown by 5 billion monthly since October.

Read: Google’s Gemini AI Reaches 350 Million Users Amid Antitrust Scrutiny

Google has integrated Gemini models into all 15 of its products, with over half a billion users making use of them. The company is also upgrading Google Assistant on mobile to Gemini, with plans to extend this to tablets, cars, and connected devices later this year.

Gemini 2.5 Pro was released last month, and is expected to achieve big leaps in reasoning, coding, science, and math capabilities.

The company’s CEO, Sundar Pichai, says, “Gemini 2.5, our most intelligent model yet, is providing an extraordinary foundation for our future innovation. Active users in AI Studio and the Gemini API have grown over 200% since the beginning of this year, driven by 2.5 Pro”.

Google sees its partnership with NVIDIA as crucial for driving its AI innovation efforts.  “We were the first cloud provider to offer NVIDIA’s groundbreaking B200 and GB200 Blackwell GPUs and will be offering their next-generation Vera Rubin GPUs,” the company writes.

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Sakwa Kombo

Sakwa Kombo

My Bio is in my written articles.

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