Google Cloud, the cloud computing division of Alphabet, reported $15.15 billion in revenue and $3.59 billion in net income for the third quarter of 2025. The segment is on track to double its net income for the full year, with projections suggesting it could generate around $3.8 billion in profits for the fourth quarter and reach nearly $12.4 billion in net income for 2025.
Alphabet CEO Sundar Pichai stated during the company's 2025 third-quarter earnings call, "We are scaling the most advanced chips in our data centers, including GPUs from our partner Nvidia, as well as our own purpose-built TPUs, and we are the only company providing a wide range of both."
Google Cloud's net income has grown from $900 million in the first quarter of 2024 to $3.59 billion by the third quarter of 2025. Revenue and net income have risen steadily, with profit margins increasing from 9.4% in Q1 2024 to 23.7% in Q3 2025.
The company holds a 13% market share in cloud computing, according to Statista, trailing Amazon Web Services at 29% and Microsoft Azure at 20%. Its market share has grown from less than 10% in the fourth quarter of 2020.
More than 70% of existing Google Cloud customers use its AI products, which include tools for developers to train, operate, and deploy AI-powered products. The segment's backlog grew 46% sequentially and 82% year-over-year to reach $155 billion.
Alphabet will issue its fourth-quarter results after the market closes on Feb. 4. Based on recent performance, analysts expect at least 75% year-over-year growth for Google Cloud in the fourth quarter, which would result in $3.65 billion for the quarter and a full-year net profit of $12.23 billion for 2025.
Google Cloud's net income for all of 2024 was $6.1 billion. If the segment's profits continue to grow at a conservative rate of 60% from 2025, projected 2026 profits could reach $19.5 billion, approaching the $20 billion mark.