Its Class-A shares climbed as much as 1.7% to $334.04, hitting a record high before easing slightly.

The company’s growth is underlined by a multi-year deal with Apple, which will use Google’s Gemini platform for its next-generation AI models. 

Samsung also plans to double the number of devices powered by Gemini in 2026, showing the platform’s influence in consumer technology. 

Meanwhile, Google Cloud posted a 34% revenue jump in the third quarter, with a $155 billion backlog in contracts. 

Alphabet has also started renting out its custom AI chips to external customers, and Meta is reportedly considering a multi-billion-dollar deal to buy them starting in 2027.

Alphabet recently surpassed Apple in market valuation for the first time since 2019, becoming the second most valuable company in the world behind Microsoft. It joins Nvidia, Microsoft, and Apple in the exclusive $4 trillion club. 

Investor confidence has been further boosted by Berkshire Hathaway’s rare investment in the company and a September court ruling that allowed Alphabet to retain control of Chrome and Android.

“The one name that has surprised us all over the last 12 months is Alphabet,” said Phil Blancato, CEO of Ladenburg Thalmann Asset Management. 

“What I would give the company credit for is innovation. That’s what they’ve done to separate them from a lot of other firms in recent days, and you’re seeing it in earnings data.”

Alphabet’s advertising business remains steady despite economic challenges, while new AI offerings, including the well-reviewed Gemini 3 model, are strengthening competition with other AI companies. 

For a product launched to counter OpenAI’s ChatGPT, Gemini is meeting up fast. Just a few months ago, internal estimates put Gemini’s monthly users at 350 million, compared to ChatGPT’s 600 million. Now, that gap is narrowing.

Google has restructured its AI leadership, with Josh Woodward, known for NotebookLM, taking over Gemini. This is a strategic reset where Google wants Gemini to spark the same kind of public excitement that made ChatGPT a cultural moment.

But Gemini is only part of the equation. Pichai noted that AI-powered overviews in Google Search now reach over 1.5 billion people each month. 

At the same event, Google revealed it’s bolstering Search into something more interactive. Users won’t just type in questions. They’ll get answers based on what their camera sees, what they’re planning to buy, or how they’re preparing for a test. Google is betting that its version of an AI-native internet will feel personal, proactive, and indispensable.

“Over and over, we’ve been able to deliver the best models at the most effective price point,” Pichai said.

The company is also trying to monetise this transformation. A new “AI Ultra Plan” was introduced—$249.99 per month for early access to high-end Gemini models, including Deep Think, which is tailored for complex reasoning. 

The subscription includes 30TB of cloud storage and an ad-free YouTube experience. For comparison, OpenAI and Anthropic offer premium AI access for around $200 monthly.

It’s a high price, but it shows the reality of AI development, cutting-edge tools cost real money to build and run. Google now has over 150 million paying users across its subscription tiers, including those priced as low as $19.99.

Meanwhile, the pressure is not just from OpenAI. Meta is scaling fast too. CEO Mark Zuckerberg recently announced that Meta’s AI tools serve over one billion users across Facebook, WhatsApp, and Instagram. The company also launched a standalone chatbot app.