Alphabet Q1 Revenue Report 2025

alphabetGoogle and YouTube’s parent company are expected to report first quarter revenue after Thursday’s bell.

Here’s what analysts expect:

Revenue: $8.912 billion according to LSEGearnings: LSEG YouTube Advertising revenues: StreetAccounttraffic acquisition costs (TAC): StreetCcountcountcountcountcountcount$1.366 billion, StreetAccountgoogle cloud revenues: Lsegyoutube Advertising revenues: $2.01: $8.97 billion: $12.27 billion

Google has found its position at the heart of the AI ​​Army race where its position could be threatened as increased competition with Openai and generative AI companies, including humanity, is pending. The company is also one of those seeking potential impacts from President Donald Trump’s tariffs, and the tight budget could lead to advertisers’ spending.

Alphabet’s stock has so far dropped by more than 17% in 2025.

Wall Street expects Alphabet to report 10% revenue growth in the first quarter year-on-year. This includes the biggest acquisitions, cost-cutting and regulatory hurdles of AI.

In March, Google released the Gemini 2.5, the most capable artificial intelligence model suite, and the company’s latest open model, the Gemma 3. The timing of the Gemini 2.5 and Gemma 3 came after Deepseek released the R1 model in January, which caused Rift in Silicon Valley after Chinese startups claimed that the AI ​​model was trained at the cost of some of the other major models.

Google AI chief Demis Hassabis told employees at All Hands Meeting in February that he wasn’t worried about Deepseek and that Google has great AI technology.

“We are very calm and confident in our strategy. There are all the factors that will help us maintain our leadership this year,” Hassavis said, calming concerns from investors and employees. However, he added that he still considers Chinese companies to be “something that can be taken seriously.”

Google This quarter also unveils Gemini’s new personalization feature, allowing chatbots to view users’ search history, and users can also connect Gemini such as calendars, notes, tasks, photos, and more to other Google apps.

During the quarter, nvidia CEO Jensen Huang has announced that he will partner with Google’s Gemini Products to give the company a high reputation.

“No company is better in all levels of computing than Google or Google Cloud,” says Huang.

Alphabet has also made many announcements for autonomous driving.

In March, Waymo began offering Robotaxi rides in Austin, Texas through the Uber app, opening a waitlist in Atlanta. These markets are just two more expected expansions this year in the US.

Also, when it made its biggest acquisition in March, Alphabet agreed to buy Wiz for $32 billion in cash, nearly $10 billion more than it was offered to startups in 2024, so it expects the deal to close next year, subject to regulatory approval. With the acquisition, Google will seek to enhance its cloud sector security delivery. Google is behind Amazon and Microsoft, the cloud market share. This could help the company discuss getting regulatory approval.

Google This quarter also faced a number of regulatory and legal challenges.

Last week a federal judge determined that Google held an illegal monopoly in the online advertising market due to its position between ad buyers and sellers. The ruling represents Google’s second major anti-trust blow. Last August, a judge determined that the company held a monopoly in the core markets of internet search.

In April, the company reached a settlement with the employee union and agreed to reverse a policy that prohibits employees from discussing antitrust lawsuits. The settlement, which marked a major victory for Google staff, came ahead of Google’s Remedy Trial. This will determine the outcome of the search exclusive ruling over the next few weeks.

In February, education technology company Chegg filed a lawsuit against Google. Chegg argued that Google’s “AI Summary” feature during searches is eroding traffic and revenue for online education companies. Similarly, Reddit in February claimed that Google’s search algorithm caused “volatility” with user growth in the fourth quarter, but that the company’s search-related traffic recovered, CEO Steve Huffman said.

Watch: DOJ targets Google’s AI AI ambitions in the High Stakes Antitrust Examination