AI in Google Search is paying off: Alphabet posts strong Q1 2026 growth

Alphabet’s Q1 2026 revenue rose 22% year over year to $109.9 billion, driven by AI-led gains in Search and stronger subscriptions.

Gemini usage continued to climb, while Google Cloud revenue jumped 63% to $20 billion, signaling broad demand for Google’s AI stack.

Alphabet now has 350 million paid subscriptions across services like YouTube Premium and Google One, adding to recurring revenue growth.

Capital spending reached $35.7 billion as the company keeps investing heavily in AI and cloud capacity to compete in consumer and enterprise AI.