Alphabet joins $4 trillion company club as AI excitement fuels big tech gains

Alphabet made history on Monday, Jan. 12, when its market value briefly crossed $4 trillion during trading hours, making it the fourth technology company to reach this impressive milestone. The Wall Street Journal reports that the company's stock price jumped to a record $334.04, representing a remarkable 65.4% increase over the past year. This achievement places Alphabet alongside tech giants Nvidia, Microsoft, and Apple, though only Nvidia currently maintains a valuation above $4 trillion. According to the Wall Street Journal, the surge comes after years of investor concerns about whether Google could compete effectively in the artificial intelligence race.

Gemini 3 model drives company success

The company's fortunes changed dramatically with the launch of its Gemini 3 AI model, which has earned widespread praise for its performance capabilities. Reuters indicates that this new model has helped address earlier doubts about Alphabet's AI strategy and positioned the company at the forefront of the technology race. The Gemini platform now serves over 650 million users monthly, up from 450 million just last summer.

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Additionally, Reuters notes that Apple announced a significant multi-year partnership to use Google's Gemini as the foundation for its next-generation AI models and Siri assistant. The company's cloud computing division has also become a major growth driver, with revenue increasing 34% compared to the previous year.

Strong performance attracts major investors

Alphabet's impressive rally throughout 2025 has caught the attention of prominent investors and Wall Street analysts. CNBC highlights that this 65% annual gain represents the company's strongest performance since 2009, when shares doubled following the financial crisis. The company received a significant vote of confidence when Warren Buffett's Berkshire Hathaway purchased 17.8 million shares, valued at over $4.3 billion. Investment analysts have upgraded their outlook on Alphabet, with CNBC reporting that 70% of Google Cloud customers now use its AI products, demonstrating the company's strong position across multiple technology sectors.