During Google’s third-quarter earnings call, CEO Sundar Pichai revealed that over 25% of the new code at Google is now generated by AI, marking a shift in how the company is boosting productivity and efficiency through internal AI applications.
In addition to streamlining internal processes, Google’s AI efforts are contributing significantly to its revenue. Alphabet Inc., Google’s parent company, reported an impressive $88.3 billion in revenue this quarter. Google Services, including Search, contributed $76.5 billion, a 13% increase year-over-year. Google Cloud, which supports AI infrastructure for businesses, earned $11.4 billion, up 35% from the previous year.
Pichai highlighted the impact of AI across Google’s product range: “In Search, our new AI features are expanding both what people can search for and how they do it.” He added that AI in Google Cloud is enhancing product adoption and attracting new clients. Additionally, YouTube ad and subscription revenues exceeded $50 billion over the last four quarters for the first time, driven by AI-powered strategies.
