Company: GOOGL
Filing Date: 2025-02-05
Form Type: 10-K
Source: 0001652044-25-000014
Chunk: 52

Company: Alphabet Inc.
Filing Date: 2025-02-05
Form: 10-K
Item: Item 8
Chunk 52
---
,514)$1,424 $7,425 (1)    Interest expense is net of interest capitalized of $128 million, $181 million, and $194 million for the years ended December 31, 2022, 2023, and 2024, respectively.

Note 8.        Business Combinations

character.aiIn accordance with the accounting requirements under Accounting Standards Codification Topic 805, for the year ended December 31, 2024, we recorded $2.7 billion of goodwill and $413 million of intangible assets resulting from a transaction with character.ai (“Character”). In August 2024, we entered into a license agreement with Character pursuant to which we obtained a non-exclusive license to its then current large language model technology. We paid Character $2.7 billion in cash and canceled our convertible instruments. We also hired certain employees of Character. Goodwill was recorded in Google Services and Google Cloud and is deductible for tax purposes.

Note 9.        Goodwill

Changes in the carrying amount of goodwill for the years ended December 31, 2023 and 2024 were as follows (in millions):

77.  

Table of ContentsAlphabet Inc.

Google ServicesGoogle CloudOther BetsTotalBalance as of December 31, 2022$20,847 $7,205 $908 $28,960 Additions240 3 0 243 Foreign currency translation and other adjustments31 (9)(27)(5)Balance as of December 31, 202321,118 7,199 881 29,198 Additions2,441 295 0 2,736 Foreign currency translation and other adjustments(38)(4)(7)(49)Balance as of December 31, 2024$23,521 $7,490 $874 $31,885 

Note 10.        Commitments and Contingencies 

CommitmentsWe have content licensing agreements with future fixed or minimum guaranteed commitments of $8.8 billion as of December 31, 2024, of which the majority is paid quarterly through the first quarter of 2030.IndemnificationsIn the normal course of business, including to facilitate transactions in our services and products and corporate activities, we indemnify certain parties, including advertisers, Google Network partners, distribution partners, customers of Google Cloud offerings, lessors, and service providers with respect to certain matters. We have agreed to defend and/or