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YouTube pulled in $9.8 billion in ad revenue in Q2 2025, a 13 percent year-on-year increase that helped drive Alphabet’s total quarterly revenue up by 14 percent to $96.43 billion. The platform also grew ad revenues by 6.6 percent over the previous quarter, reinforcing its growing role in Alphabet’s advertising and subscription engine.
Overall ad revenue for Alphabet, which includes YouTube, Search, and Network, rose to $71.3 billion from $64.6 billion in the same quarter last year, recording a growth of 10.37%. Google Search and other ad revenue came in at $46.15 billion, up from $42.6 billion, while YouTube ads grew from $7.67 billion to $9.8 billion. Google Network saw a slight decline, from $7.9 billion to $7.5 billion.
Alphabet’s net profit rose 28 percent to $28.2 billion, while operating income grew 14 percent to $31.27 billion. Services revenue, which includes advertising, reached $82.5 billion, up 12 percent year-on-year.
Sundar Pichai, CEO of Alphabet and Google, said the company had a standout quarter, driven by strong performance from Search, YouTube, and Cloud. He pointed to increasing momentum in Alphabet’s subscription products and the growing influence of AI across the board. “With our Gemini models, we are seeing substantial improvements across Search and Ads,” he said.
Google Cloud brought in $9.46 billion, growing from $8 billion in Q2 2023. Alphabet also noted that its AI infrastructure business is now on a $50 billion annual run rate. CFO Ruth Porat said the company expects capital expenditure to be significantly higher in 2025, with investments focused on technical infrastructure to support AI.
For advertisers, the results reinforce the dominance of Google’s ecosystem. YouTube’s double-digit ad growth signals strong brand and performance traction, even as the platform experiments with AI-generated content and new ad formats. Search continues to be a reliable engine, and with AI Overviews and other features being rolled out, Google is betting that AI integration will further enhance user engagement and ad effectiveness.
The Q2 results come at a time when rival platforms are also pushing AI upgrades and monetisation levers. But with Search, YouTube, and Cloud all firing in sync, Alphabet appears to be comfortably ahead of the pack.
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