Google's Gemini AI Model Sales Surge, API Calls Double to 85 Billion
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 20 2026
0mins
Should l Buy GOOG?
Source: seekingalpha
- Significant Sales Growth: Google’s Gemini AI model sales have surged over the past year, with API calls doubling from 35 billion in March 2025 to 85 billion in August 2025, indicating improved model quality that is expected to drive revenue growth in Google Cloud's core business.
- User Base Expansion: Gemini Enterprise has reached 8 million subscribers across 1,500 companies, reflecting market acceptance, although customer feedback is mixed, with about 50% of users reporting positive experiences.
- Profitability Improvement: Google has focused on enhancing API margins over the past year, with the Gemini 2.5 model achieving positive margins, marking progress in competing on quality, although overall margins remain below the average for cloud business.
- Increased Market Impact: The success of the Gemini API has led to increased spending on Google’s overall cloud products, as customer expenditures on API calls have boosted consumption of other services like storage and databases, demonstrating the positive impact of AI applications on the broader business.
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Analyst Views on GOOG
Wall Street analysts forecast GOOG stock price to rise
15 Analyst Rating
14 Buy
1 Hold
0 Sell
Strong Buy
Current: 294.900
Low
255.00
Averages
336.08
High
400.00
Current: 294.900
Low
255.00
Averages
336.08
High
400.00
About GOOG
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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