New Delhi, India, January 13, 2026 – Alphabet has reached a historic milestone, briefly touching a $4 trillion market valuation on Monday. The achievement highlights how the Google parent’s renewed focus on artificial intelligence has reshaped investor confidence and placed the company back at the center of the global technology race.
The surge came after Alphabet announced a multi‑year deal with Apple. Under the agreement, Apple’s next generation of AI models will be powered by Google’s Gemini technology. The news boosted Alphabet’s class‑A shares, which rose as much as 1.7% to a record $334.04 before easing later in the day.
This partnership marks one of the strongest signals yet that Alphabet’s AI strategy is paying off. Earlier reports revealed that Samsung plans to double the number of its mobile devices using Gemini this year. These moves show how Alphabet’s technology is spreading across industries and strengthening its position against rivals.
Alphabet’s rise has been swift. Just last week, the company overtook Apple in market capitalization for the first time since 2019, becoming the world’s second most valuable firm. The stock has surged about 65% in 2025, outpacing other members of Wall Street’s elite “Magnificent Seven.” Investors who once worried Alphabet had lost its early AI edge now see a company reclaiming leadership.
The turnaround has been fueled by several factors. Alphabet transformed its cloud division, once overlooked, into a major growth engine. Google Cloud’s revenue jumped 34% in the third quarter, with a backlog of contracts reaching $155 billion. Renting out its self‑developed AI chips, once reserved for internal use, has also accelerated growth. Demand is rising so quickly that Meta is reportedly in talks to spend billions on Alphabet’s chips for its data centers starting in 2027.
Berkshire Hathaway’s rare investment in Alphabet has further lifted investor sentiment. Warren Buffett’s firm, known for cautious bets in technology, added credibility to Alphabet’s strategy. Analysts say this endorsement helped convince markets that Alphabet’s AI push is more than hype.
Phil Blancato, CEO of Ladenburg Thalmann Asset Management, praised the company’s progress. “Of the Magnificent Seven stocks, Alphabet is the one that has surprised us most in the past year,” he said. “Innovation has set them apart, and earnings data reflect that success.”
Alphabet’s Gemini 3 model has also drawn strong reviews. Many users found OpenAI’s GPT‑5 underwhelming, which increased pressure on competitors and gave Alphabet an edge. The company’s ability to deliver advanced models has reassured investors that it can compete at the highest level.
Meanwhile, Alphabet’s advertising business, its largest revenue source, has remained steady despite economic uncertainty and fierce competition. This stability has allowed the company to invest heavily in AI without risking its core income.
Alphabet now joins Nvidia, Microsoft, and Apple as the only companies to cross the $4 trillion mark. The milestone underscores how central AI has become to the future of technology and how investors reward firms that lead in this space.
The company also benefited from a legal victory in September when a U.S. judge ruled against breaking it up. Alphabet retained control of its Chrome browser and Android operating system, removing a major cloud of uncertainty.
Together, these developments show how Alphabet has reshaped its narrative. Once seen as trailing rivals, it is now viewed as a leader driving innovation across cloud services, hardware, and consumer technology. The $4 trillion valuation is more than a number; it reflects renewed confidence in Alphabet’s ability to define the next era of computing.
Alphabet’s journey demonstrates how quickly fortunes can change in the technology sector. By refocusing on AI, strengthening partnerships, and expanding its cloud business, the company has regained momentum. Investors will now watch closely to see if Alphabet can sustain this pace and continue to deliver breakthroughs that keep it ahead of competitors.
