After spending a large part of its 25-year history shaping the way we search online, Google’s parent company Alphabet has reclaimed its spot in the $2 trillion valuation club. It comes at a time when the company is dealing with the rise of generative AI as well as regulations around the globe.

The surge came after Alphabet delivered a first-quarter earnings report well above expectations: Its $80.5 billion in revenue and $1.89 earnings per share were well above respective analyst estimates.

In recent months, Google has changed the way we search online by realigning it around AI and the company launched its own Gemini AI model to help achieve it. The company has even announced its first-ever dividend and a $70-billion share buyback alongside its Q1 2024 earnings.

Unlike Microsoft, Google is careful about how it’s changing search.“We’re being measured in how we do this, focusing on areas where Gen AI can improve the search experience while also prioritising traffic to websites and merchants,” said Sundar Pichai, CEO of Alphabet.

Google is now the fourth most valuable public company in the world, behind Nvidia ($2.2 trillion), Apple ($2.6 trillion), and Microsoft ($3.0 trillion). Amazon is currently at $1.8 trillion, and Meta is at $1.1 trillion.

Google is also managing the onslaught of TikTok and Instagram Reels. More creators are uploading YouTube Shorts than ever before and the monetisation rate of Shorts has increased 12 per cent over the last quarter alone.

Google touched the landmark valuation first in November 2021 but it was for a very short span.