More than 30% of the code written at Google is now created with help from AI, CEO Sundar Pichai said during Alphabet’s recent Q1 2025 earnings call. This means developers are accepting AI-generated suggestions in nearly one out of every three code changes.
Pichai said the company is seeing strong momentum in the use of AI-assisted coding across teams, driven by more capable models and the introduction of agentic workflows, AI systems that can plan and execute multi-step tasks. “We are deploying these deeper flows across all parts of the company,” he said, noting that customer service teams are particularly ahead in adoption.
Alphabet, Google’s parent company, reported its first quarter 2025 financial results on April 24. Consolidated revenues increased 12% year over year to $90.2 billion, but declined 6.5% QoQ from $96.5 billion in Q4 2024.
Net income rose 46% to $34.5 billion, with diluted earnings per share up 49% to $2.81. Operating income for the quarter reached $30.6 billion, up from $25.5 billion a year earlier, and the operating margin expanded to 34% from 32%.
Google’s core advertising business remained a primary driver, with Google Search and other revenues climbing to $50.7 billion, up from $46.2 billion in the same quarter last year. YouTube ad revenue increased to $8.9 billion, while Google subscriptions, platforms, and devices brought in $10.4 billion. Google Cloud revenues saw significant growth, rising 28% year-over-year to $12.3 billion, led by demand for core cloud products, AI infrastructure, and generative AI solutions.
Google recently released Gemini 2.5 Pro, which has been well-received by both developers and consumers. According to Pichai, the model is “state-of-the-art across a wide range of benchmarks” and even debuted at number one on the Chatbot Arena by a significant margin. He added that Gemini 2.5 Pro brings major improvements in reasoning, coding, science, and math, opening up new possibilities for developers and customers alike.
“Active users in AI Studio and Gemini API have grown over 200% since the beginning of the year,” he said.
Gemini models are now embedded into all 15 Google products with over half a billion users. Android and Pixel are leading the charge, offering features like Gemini Live and AI-powered camera tools. Google Assistant is also being upgraded to Gemini, with support extending later this year to tablets, smartwatches, and cars.
In addition, Gemma models have been downloaded more than 140 million times. Pichai also highlighted new frontiers for AI development, including Gemini Robotics Models and AI Co-Scientist, a multi-agent system for scientific research. AlphaFold, a breakthrough in protein structure prediction, has now been used by more than 2.5 million researchers.
Pichai highlighted progress across Google’s core platforms. In Search, AI Overviews now serve over 1.5 billion users monthly, helping expand the types of questions Google can answer. Gemini Live screen sharing and camera tools are also rolling out across Android devices, including the new Pixel 9a and Samsung S25.
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