Why did Alphabet surpass Apple in value?

Alphabet's valuation surged after Apple announced it would use Google's Gemini AI for Siri, signaling a major AI collaboration.

What is Google's Gemini AI?

Gemini is Google's flagship AI model, now chosen by Apple to enhance the functionality of its Siri digital assistant.

How has Alphabet performed financially in 2025?

Alphabet's stock saw a significant increase of about 65% in 2025, outperforming many major tech companies.

Home / Business and Economy / Alphabet Surges Past Apple on AI Deal

Alphabet Surges Past Apple on AI Deal

12 Jan

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Summary

Alphabet reached $4tn valuation, surpassing Apple.
Apple selected Google's Gemini AI for Siri's overhaul.
Alphabet's stock surged 65% in 2025, outperforming peers.

Alphabet has achieved a significant financial milestone, reaching a $4tn valuation and surpassing Apple to become the second-most valuable company globally. This surge follows Apple's announcement that it has chosen Google's Gemini AI model to power a substantial overhaul of its Siri digital assistant. This strategic partnership underscores the growing influence of artificial intelligence in the tech industry and marks a pivotal moment for Alphabet's market standing.

The company's stock performance has been extraordinary, with a 65% increase in 2025, outperforming other major tech stocks. Alphabet has successfully addressed investor concerns regarding its AI capabilities through high-profile product launches like the latest Gemini model and the Nano Banana image generator. Furthermore, its cloud division has emerged as a significant growth engine, attracting investment and demonstrating substantial revenue increases, partly due to renting out its AI chips.