Alphabet CEO Sundar Pichai announced on April 24, 2025, that over 30% of new code at Google is now generated by Artificial Intelligence (AI), up from 25% in October 2024, according to a report by Moneycontrol, today, Friday, April 25.
Speaking during Alphabet’s Q1 earnings call, Pichai highlighted the impact of generative AI across the company’s operations, from coding to customer service, as Google increases its AI-driven strategy.
AI in code generation
Google has significantly increased its reliance on AI for software development, with more than 30% of new code now AI-generated.
Pichai noted, “More importantly, we have deployed deeper flows, and particularly with the newer models, I think we are working on early agentic workflows and how we can get those coding experiences to be much deeper."
This shift has boosted productivity, with employees increasingly adopting AI-driven coding suggestions.
Integration
Pichai further emphasised, “It’s deeply embedded in everything we do…including the finance team preparing for this earnings call.”
The customer service teams have leveraged AI to enhance user experiences while improving efficiency. These innovations are also being extended to Google Cloud customers, offering AI solutions derived from internal expertise.
Use of Gemini
All 15 of Google’s products with over 500 million users, including Android and Pixel, now use Gemini models.
Pichai highlighted, “Android and Pixel are two examples of how we’re putting the best AI in people’s hands.”
Google is phasing out Google Assistant on mobile devices in favour of Gemini, with plans to extend this upgrade to tablets, cars, headphones, and watches later in 2025.
The recently launched Gemini 2.5 model, hailed as the industry’s best, has driven breakthroughs in performance.
Merging AI
To increase its AI initiatives, Google has streamlined its organisational structure, unifying teams in research, machine learning, security, and platforms.
The company has also conducted layoffs in non-priority areas while hiring for AI-focused roles.
In October 2024, the Gemini app team was moved to Google DeepMind to accelerate model deployment, and Josh Woodward replaced Sissie Hsiao as Gemini's lead in April 2025.
Alphabet also plans to invest approximately $75 billion in capital expenditures in 2025 to fuel AI development, as confirmed by CFO Anat Ashkenazi.
