Google's CEO Says AI Is Now Responsible for 25% of 'All New Code' Created at the Company Google CEO Sundar Pichai said engineers are moving faster because of AI.

By Sherin Shibu

Key Takeaways

  • Google is using AI internally to write more than a quarter of new code, Google CEO Sundar Pichai stated on the company’s third-quarter earnings call on Tuesday.
  • Google’s revenue grew overall, with Search growing by 12% and Google Cloud increasing by 35% year-over-year.

Google software engineers have a new coworker: AI.

Google released its third quarter 2024 earnings on Tuesday and emphasized the role that AI plays within the company.

"Today, more than a quarter of all new code at Google is generated by AI, then reviewed and accepted by engineers," Google CEO Sundar Pichai stated on the earnings call. "This helps our engineers do more and move faster."

Google has over 1,000 fewer employees now than it did at the same time last year, for a current headcount of 181,269 employees compared to 182,381 in Q3 2023.

Google CEO Sundar Pichai. Photo by Mateusz Wlodarczyk/NurPhoto via Getty Images

Google's AI impact extends to all corners of the globe. Pichai stated that AI overviews in search will roll out to more than a hundred new countries this week and will "now reach more than one billion users on a monthly basis."

Related: New Google Report Reveals the Hidden Cost of AI

Google Search revenue grew 12% year-over-year, hitting $49.39 billion in the third quarter of this year. Total revenue reached $88.27 billion, a 15% increase from the previous year's $76.69 billion.

"Search remained the largest contributor to revenue growth, followed by robust 35% growth in Cloud," Google's chief financial officer Anat Ashkenazi said on the earnings call. Google Cloud revenue was $11.35 billion in Q3 2024.

Google also announced on the call that YouTube's ad and subscription revenue for the past four quarters have topped $50 billion for the first time.

Overall, "Q3 was another great quarter," Pichai stated. Shares of Google's parent company Alphabet were up over 5% today at the time of writing.

Related: I Tried Making an AI-Hosted Podcast with Google's NotebookLM. It Worked Surprisingly Well.

Sherin Shibu

Entrepreneur Staff

News Reporter

Sherin Shibu is a business news reporter at Entrepreneur.com. She previously worked for PCMag, Business Insider, The Messenger, and ZDNET as a reporter and copyeditor. Her areas of coverage encompass tech, business, strategy, finance, and even space. She is a Columbia University graduate.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Business Ideas

70 Small Business Ideas to Start in 2025

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2025.

Business News

AI Could Cause 99% of All Workers to Be Unemployed in the Next Five Years, Says Computer Science Professor

Professor Roman Yampolskiy predicted that artificial general intelligence would be developed and used by 2030, leading to mass automation.

Business News

Mark Zuckerberg 'Insisted' Executives Join Him For a MMA Training Session, According to Meta's Ex-President of Global Affairs

Nick Clegg, Meta's former president of global affairs, says in a new book that he once had to get on the mat with a coworker.

Business News

United Airlines Says It Is Adding Extra Flights in Case Spirit 'Suddenly Goes Out of Business'

Rival airlines, including United and Frontier, are adding new routes as Spirit cuts 12 cities from its schedule.

Leadership

The Difference Between Entrepreneurs Who Survive Crises and Those Who Don't

In a business world accelerated by AI, visibility alone is fragile. Here's how strategic silence and consistency can turn reputation into your most powerful asset.