A note from Sundar, April 2025 To our investors, 2024 marked a year of powerfulmomentum for Google and Alphabet, fueled by ourAI-first strategy. We’re shipping new products fasterthan ever, driving AI breakthroughs, and delivering AI’sbenefits to more people globally through our uniquefull-stack approach — from foundational infrastructure,to models and research, to products and platformsserving billions of people and businesses. AI-powered products Gemini is now used across all of our 15 products, withhalf a billion users — including Google Maps whichbecame our seventh product to reach 2 billion userslast year. Gemini enhances our core products andcreates entirely new experiences, too. In Search,AI Overviews now reach 1 billion people; notably, usersengaging with AI Overviews return to Search for moreof their information needs. We’re excited about ournewest experiment, AI Mode, which is taking on evenmore complicated queries with AI. We’re also buildingnovel experiences like Deep Research for Gemini appusers and NotebookLM, to help people delve evendeeper on topics they care about. World-class infrastructure Google’s unparalleled backbone network spansmore than 200 countries and territories connectedby more than 2 million miles of terrestrial and subseacables, creating a super resilient foundation for ourAI-powered future. This network, which moves at“Google speed” — near-zero latency — for billionsof users worldwide is now available to enterpriseseverywhere through the Cloud Wide Area Network(or Cloud WAN). We also make our Tensor ProcessingUnits, the same chips we used to train our mostcapable AI models, available to businesses throughGoogle Cloud. Just a few weeks ago at Cloud Next,we announced our 7th generation TPU: Ironwood.It’s the most powerful chip we’ve ever built and willenable the next frontier of AI models. Leading AI research and models Our leading research teams continue to advancethe field with our generative AI research papers,cited three times more than any other companyor educational institution in the world. In 2024,our research drove advances in the underlyingmodels, from breakthroughs in multimodality tolong-context understanding. Last December, welaunched Gemini 2.0 models, which show advancesin complex reasoning, native image output, andagentic capabilities. And just last month, we tookanother big leap, with Gemini 2.5 Pro, which pushesthe frontier of thinking. Our most intelligent AI modelyet, Gemini 2.5 Pro launched as the best model in theworld on tasks requiring advanced reasoning. It’s alsoour most in-demand model, with an 80-percent-plusincrease in active users in Google AI Studio and theGemini API the month of release. All told, over fourmillion developers use our Gemini models, includingGemma 3, our family of open models, showing highperformance even on a single H100 GPU. Of course Gemini is not our only industry-leadingmodel. Veo 2 — which creates video with realisticmotion and high-quality output, up to 4K — is now theleading video generation model, empowering creatorsto bring their most vivid ideas to life. Our AI tools arealso helping people and organizations create, learn,and get things done in ways they couldn’t a coupleof years ago — from brainstorming new ideas withGemini Live to quickly generating interactive webapp prototypes in Gemini app’s Canvas. With ProjectAstra, now in the Gemini app in your phone, we’retesting new ways to help you interact with the worldaround you. You can ask Gemini about anything yousee. Share your screen or camera in Gemini Live tobrainstorm, troubleshoot, and more.→ Investing in the future Advancing science & society Making AI helpful for everyone requires deeperinvestments in infrastructure, job training, and cleanenergy which can create jobs and opportunities forpeople. That’s why we plan to invest approximately$75 billion in 2025 in capital expenditures, launcha first-ever project to power data centers usingsmall modular nuclear reactors, and expand trainingthrough our $120 million AI Opportunity Fund. 2024 also saw important progress that is advancingscience and discovery. Demis Hassabis and JohnJumper from Google DeepMind received the NobelPrize for Chemistry for their work on AlphaFold,a protein-folding breakthrough now being used by2 million researchers around the world. We’ve madenew state-of-the-art weather forecasting modelsavailable to researchers and businesses. Andour new FireSat initiative will use high-resolutionsatellite imagery and AI to detect fires as smallas 5x5 meters, which will be a game changer forfighting wildfires globally. Strong business momentumWe’ve seen strong momentum across the breadth of our business over the past year. Take a look atSearch and our ads business: We already see morethan 5 trillion searches on Google annually, and withAI, we’re continuing to expand the types of questionsthat people can ask. AI Overviews have increased thevolume of commercial queries. And today peopleshop more