Alphabet, Google’s parent company, shared the highlights from its Q4 earnings call, which showed significant success for the company. Not only was it Alphabet’s strongest quarter, but it was also the most earnings to date.
Highlights from Alphabet’s Q4 Earnings
In 2025 Q4, Alphabet earned $113.8 billion, which exceeded estimates. This helped the company achieve $400 billion in annual revenue, which is its best year so far.
Here are some highlights from the last quarter:
- Google Search revenue grew by 17%.
- Gemini now has over 750 million monthly active users.
- YouTube surpassed $60 billion revenue, including ads and subscriptions.
- Google Cloud’s revenue grew by 48%.
- Achieved over 325 million paid subscriptions across consumer services.
Google Search and Advertising Take Center Stage
Google Search and other advertising revenue for Alphabet experienced a significant rise in 2025. Revenue rose by 10% in Q1, 12% in Q2, 15% in Q3, and 17% in Q4. CEO Sundar Pichai said that Google Search had more usage in Q4 than ever before, and part of that is because of Google AI Mode.
Once people start using new features, they tend to keep using them more. This proved to be true after Alphabet implemented AI Mode into Google Search. In the U.S., daily AI Mode queries per user doubled since the launch. Users also started engaging with longer, more complex queries, often leading to follow-up questions.
According to Chief Business Officer Philipp Schindler, Google is experimenting with AI Mode monetization. This includes testing ads below AI responses and integrating checkout directly into AI Mode, making it easier for users to see recommendations and make purchases.
Gemini Grows Significantly
Another important part of the Q4 earnings is Gemini’s growth. Google reported 750 million monthly active users for Gemini in Q4, which indicates massive growth. For reference, ChatGPT is estimated to have about 810 million monthly users in late 2025. Gemini hasn’t quite surpassed its biggest rival, but it’s getting close.
This growth occurred after the launch of Gemini 3, Google’s latest AI model. While many users have the free tier, Google also rolled out a more affordable subscription plan this year ($7.99/month) so users can access some advanced features without breaking the bank. This has made Gemini more accessible to people wanting to use it.
YouTube Misses a Goal
Even though Alphabet achieved many wins in 2025, not all of its platforms met goals. YouTube’s revenue reached $11.38 billion in Q4, which was a 9% increase, but it didn’t quite hit the $11.84 billion that was expected.
Schindler notes that subscription growth plays a role in this. When users buy YouTube Premium, ad revenue goes down, but the business earns other revenue. 2025 was a big year for YouTube subscriptions, including YouTube Music Premium. So, while ad revenue wasn’t as strong as expected, YouTube revenue is still successful overall.
Despite ad revenue falling short, YouTube achieved many wins in 2025. YouTube remains the number one streamer in the U.S. for nearly three years now. The hours spent watching podcasts on YouTube went up 75% from prior years.
What Does This Mean for Brands?
2025 was a big year for Alphabet, and since the company’s sites are crucial for brands, the changes and improvements should be noted. Brands that aren’t showing up in Gemini and AI Mode could be missing out as those sources continue to grow and expand.
For 2026, focus on AI optimization in addition to SEO to ensure your brand shows up everywhere your audience is.
Contact Avenue Z today so we can develop a strategy that suits your brand’s unique needs.
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