Google Alphabet’s mother company plans to invest “around $ 75 billion” in capital expenses in 2025, according to a statement from the CEO Sundar Pichai in the version of the results of the fourth quarter of alphabet 2024.
Capital expenditure has become a recently burning subject because large technological companies take place to build infrastructure to support their growing AI ambitions, and today’s announcement of alphabet is clearly supposed to maintain the company in this conversation. Alphabet spent $ 32.3 billion in capital expenses in 2023So $ 75 billion in 2025 would be a big jump. And although Google’s press release today does not specifically say that future capital expenses are all for AI, given the amount of money that takes place in IA infrastructure in industry , it seems likely that a good amount of expenses will benefit from Google Work Google AI.
The AI also continues to benefit the activities of Google. Overall revenues increased from 12% in annual sliding to $ 96.5 billion. Google Cloud’s revenues are up 10% to 12.0 billion dollars, which, according to Google, is “led by Google Cloud Platform (GCP) on CDG GCP products, IA infrastructure and the geneal solutions of AI ”.
On today call to the investorPichai said that the company has “very good ideas for the concepts of native ads” in its assistant Gemini AI. He also teased that Google plans to put new research experiences “in front of users until 2025.”
Waymo belonging to Alphabet had a fairly good 2024 in total, although the report on today’s profits shows that “other bets”, which include Waymo, have undergone lower income and higher losses in shift annual.
In the fourth quarter, the Ministry of Justice also proposed that Google is potentially deposited with chrome as recourse to the August decision of the judge Amit Mehta that the company is a monopoly on the research and advertising markets. The end result of these remedies could have a great impact on the future of Google / Alphabet.
Update, February 4: Adding details of the alphabet investor call.
