Alphabet Profit Is Up 46 Percent, Driven by AI and Advertising

Alphabet revenue was $90.2 billion in Q1, a 12 percent increase year-over-year that reflects “robust momentum” across Google Search and YouTube ads and Google Cloud, each delivering double-digit growth rates. Google Cloud was up 28 percent to $12.3 billion in divisions including AI infrastructure and generative AI solutions. Net profit surged 46 percent to $34.5 billion while operating income grew 20 percent to $30.6 billion. Google and Alphabet CEO Sundar Pichai said the quarter was “super exciting” due to breakthroughs in performance by Gemini 2.5, calling it “our most intelligent AI” and a strong foundation “for future innovation.” Continue reading Alphabet Profit Is Up 46 Percent, Driven by AI and Advertising

Google Debuts Next-Gen Reasoning Models with Gemini 2.5

Google has released what it calls its most intelligent AI model yet, Gemini 2.5. The first 2.5 model release, an experimental version of Gemini 2.5 Pro, is a next-gen reasoning model that Google says outperformed OpenAI o3-mini and Claude 3.7 Sonnet from Anthropic on common benchmarks “by meaningful margins.” Gemini 2.5 models “are thinking models, capable of reasoning through their thoughts before responding, resulting in enhanced performance and improved accuracy,” according to Google. The new model comes just three months after Google released Gemini 2.0 with reasoning and agentic capabilities. Continue reading Google Debuts Next-Gen Reasoning Models with Gemini 2.5