3 Minutes
When a company finally shatters a figure that once felt mythical, you stop treating quarterly reports as routine. Alphabet — Google's parent company — has for the first time pushed annual revenue past the $400 billion mark, and YouTube alone has crossed the $60 billion threshold.
That leap isn't the result of a single move. Advertising is still the backbone, but subscriptions and cloud services have become heavyweight contributors. Google Cloud now shows an annualized revenue run-rate near $70 billion, a sign that enterprise demand for cloud and AI infrastructure is scaling fast. Revenue diversification is real.
Paid subscriptions are no longer an afterthought, either. Alphabet says paid users across its services topped 325 million, driven largely by Google One storage plans and YouTube Premium. These services cushion the company from the ups and downs of ad markets and create steadier, predictable income streams.
And then there's Gemini. Since the rollout of Gemini 3 in November 2025, the number of Gemini users has surged past 750 million — an increase of roughly 100 million from the prior period. Gemini 3 has quickly become a flagship AI model, so much so that a custom version will be integrated into a personalized Siri experience on Apple devices. Partnerships like that reshape competitive maps.
Sundar Pichai told investors that YouTube remains the 'number one streaming platform,' pointing to Nielsen data to back the claim. At the same time, Google Search activity is at historic highs. Usage of AI Mode within Search has doubled since its introduction, suggesting more users are moving from simple keyword searches toward conversational, AI-driven interactions.
Numbers like $400 billion, $70 billion, $60 billion and 750 million are headline-grabbing. But the underlying story is strategic: advertising mastery plus paid subscriptions, plus cloud and AI products, equals a more resilient Alphabet. The question now is how competitors respond as the company blends cash flow with AI-led product expansion.
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