According to the financial report for the fourth quarter of 2024, Alphabet, the holding company of Google Inc., will allocate up to $75 billion for capital investments in 2025, mainly for AI projects.
“Our results demonstrate the effectiveness of our differentiated, full-featured approach to AI innovation and the continued stability of our core businesses. We are confident in the opportunities ahead, and to accelerate our progress, we plan to invest about $75 billion in capital expenditures in 2025,” said Google CEO Sundar Pichai.
The amount indicated by the CEO is 43% higher than the company’s capital investments in 2023 – $75 billion versus $32.3 billion. Pichai did not specify what part of this amount will be directed to investments in AI projects and infrastructure development.
However, it will likely be a significant part, as other corporations have already announced increased investments in this sector. In particular, Meta plans to spend “hundreds of billions,” according to CEO Mark Zuckerberg.
Notably, in his address to investors, Pichai mentioned the emergence of competitors in the market and solutions from the Chinese startup DeepSeek but stated that the Gemini 2.0 Flash model is superior to them.