Google’s parent company, Alphabet, revealed plans to invest approximately $75 billion in capital expenditures for 2025 as part of its growth strategy, according to its fourth-quarter earnings report for 2024, released on Tuesday.
CEO Sundar Pichai expressed optimism about the company’s future, stating, “We are confident about the opportunities ahead, and to accelerate our progress, we expect to invest approximately $75bn in capital expenditures in 2025.” The investment will primarily focus on expanding Alphabet’s data centres and advancing next-generation AI infrastructure.
In September 2025, Alphabet also announced plans to invest $1 billion in Thailand, aimed at establishing a new data center and cloud region to meet the growing demand for cloud services and AI in Southeast Asia. This move aligns with a broader trend in the tech industry, with competitors like Meta and Microsoft also significantly increasing investments in AI infrastructure. Meta recently revealed plans to invest between $60 billion and $65 billion in 2025 to support its AI initiatives, while Microsoft allocated $80 billion for AI-related capital expenditures in its fiscal year.
In addition to its investment plans, Alphabet reported a 12% increase in consolidated revenues for Q4 2024, totaling $96.5 billion. Google Services was the major revenue driver, generating $84.1 billion, a 10% year-over-year increase, fueled by strong growth in Google Search and YouTube advertising.
Pichai highlighted the company’s momentum, noting that Alphabet’s leadership in AI and overall business performance contributed to the growth. Innovations in Google Search, such as AI Overviews and Circle to Search, are enhancing user engagement, while Alphabet’s AI-powered Google Cloud portfolio continues to attract stronger customer demand. YouTube, he added, remains a dominant force in streaming watch time and podcasts. Together, Google Cloud and YouTube ended 2024 with an annual revenue run rate of $110 billion.
Pichai concluded, “Our results underscore the power of our full-stack approach to AI innovation and the continued strength of our core businesses.”
