Alphabet Inc. reports revenue and active use of AI in the third quarter

Alphabet Inc. released its report for the third quarter of 2021, which indicated that the company's revenue reached $88.3 billion, an increase of 15% from last year. The company's operating margin rose to 32% from 27.8%, and net income increased 34% to $26.3 billion. During a conference call with investors, the growing role of artificial intelligence (AI) in the company's products and services was highlighted.

Google Cloud revenue increased 35% to $11.4 billion, while YouTube's ad and subscription revenue topped $50 billion in the past four quarters.

🚀 There have been several organizational changes, including the reorganization of Google's AI teams and the expansion of AI features in their products. The company also reported improvements in the efficiency of its AI infrastructure and increased use of AI in search capabilities.

• 📌 CEO Sundar Pichai emphasized how AI is transforming the search experience, telling investors that "new AI features are expanding what people can search for and how they're doing it."
• 📌 According to Pichai, more than a quarter of all new code at Google is now generated by AI and then reviewed by engineers, speeding up development cycles.
• 📌 Google reduced AI Overview query costs by 90% in 18 months, while the Gemini model doubled in size. These improvements apply to seven Google products, each of which serves more than 2 billion monthly users.