Alphabet Leads in AI and Quantum Computing Innovations
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 4 days ago
0mins
Should l Buy GOOGL?
Source: NASDAQ.COM
- AI Technology Leadership: Alphabet's Gemini models have outperformed frontier models from OpenAI and Anthropic, leading to a significant licensing deal with Apple, which is expected to drive further growth in the AI market.
- Surge in Cloud Demand: Google Cloud revenue increased by 36% in 2025, with a notable acceleration in Q4, reflecting strong demand from developers and enterprises for its AI services, thereby solidifying Alphabet's leadership in the cloud computing sector.
- Quantum Computing Breakthrough: Alphabet's research in quantum computing achieved a significant milestone by demonstrating an algorithm running 13,000 times faster than on classical supercomputers, indicating potential breakthroughs in drug discovery and materials science, enhancing its technological edge.
- Diverse Investment Portfolio: Alphabet manages $7 billion through CapitalG and its $900 million investment in SpaceX could now be worth $100 billion, showcasing its strategic positioning and long-term growth potential in frontier technology sectors.
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Analyst Views on GOOGL
Wall Street analysts forecast GOOGL stock price to fall
33 Analyst Rating
26 Buy
7 Hold
0 Sell
Strong Buy
Current: 388.430
Low
305.00
Averages
374.25
High
400.00
Current: 388.430
Low
305.00
Averages
374.25
High
400.00
About GOOGL
Alphabet Inc. is a holding company. The Company's segments include Google Services, Google Cloud, and Other Bets. The Google Services segment includes products and services such as ads, Android, Chrome, devices, Google Maps, Google Play, Search, and YouTube. The Google Cloud segment includes infrastructure and platform services, collaboration tools, and other services for enterprise customers. Its Other Bets segment is engaged in the sale of healthcare-related services and Internet services. Its Google Cloud provides enterprise-ready cloud services, including Google Cloud Platform and Google Workspace. Google Cloud Platform provides access to solutions such as artificial intelligence (AI) offerings, including its AI infrastructure, Vertex AI platform, and Gemini for Google Cloud; cybersecurity, and data and analytics. Google Workspace includes cloud-based communication and collaboration tools for enterprises, such as Calendar, Gmail, Docs, Drive, and Meet.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Hardware Sales Outlook: Google's hardware sales, including tensor processing units (TPUs) for AI applications, are projected to achieve margins comparable to traditional compute rental businesses, which not only enhances the company's profitability but also lays the groundwork for future technological innovations.
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