DeepMind CEO is talking to Google CEO 'every day' as lab ramps up competition with OpenAI

As Alphabet entered 2025, investors were left wondering if Google could effectively compete against OpenAI, the creator of ChatGPT. By the end of the year, however, Alphabet's stock had experienced its most significant growth since 2009, signaling a resurgence in Google's AI capabilities, largely driven by DeepMind—the British AI powerhouse acquired by Google in 2014 for approximately £400 million. In a comprehensive interview with CNBC's podcast, The Tech Download, DeepMind's CEO Demis Hassabis described the organization as "the engine room" of Google’s AI initiatives. He highlighted that strategic changes had been implemented to accelerate the deployment of AI products in an increasingly competitive landscape. Hassabis emphasized the close collaboration with Google CEO Sundar Pichai, stating that they communicate daily to spur innovation and maintain agility in product development. "All AI technologies are developed by this group and then integrated into various Google products," Hassabis explained. He noted that the last few years have been pivotal in constructing the foundational infrastructure necessary for rapid AI product launches, labeling the current competitive scenario as "ferocious." He pointed out that many seasoned professionals in the tech industry have remarked that this is the most intense competitive period they have ever encountered. In 2023, a significant strategic move involved merging Google’s Brain research division with DeepMind, which laid the groundwork for their flagship AI assistant, Gemini. Other key personnel changes, such as promoting Josh Woodward to oversee Gemini, contributed to this momentum. Following the launch of ChatGPT in late 2022, Google found itself playing catch-up, grappling with product missteps that cemented perceptions of the company’s struggles in the AI domain. Hassabis clarified that Google’s challenges were not rooted in technological innovation but rather stemmed from a perceived delay in commercialization and scalability. He acknowledged that while Google researchers pioneered the Transformers architecture that underlies large language models, the company perhaps took too long to capitalize on this technology. "The past few years have required us to return to our startup mentality—be scrappier, faster, and more responsive to market demands," he shared. According to Hassabis, the launch of Gemini 2.5 in March 2025 marked a turning point, with the subsequent release of Gemini 3 receiving accolades for its speed and efficiency. The DeepMind CEO also highlighted the seamless integration of Gemini models across various Google services, indicating a more streamlined process that is expected to improve further in the coming year. Hassabis reiterated the daily discussions with Pichai about strategic directions and technological needs, emphasizing DeepMind's integral role in Google's overarching ambitions, including the pursuit of artificial general intelligence. With tech giants investing billions into AI infrastructure, debates continue around whether the current boom represents a bubble. Hassabis remarked that while some sectors may be experiencing unsustainable growth, he views AI as the most transformative technology ever conceived. Drawing parallels with the dot-com bubble, he predicted that the inevitable overexuberance would lead to a reckoning, ultimately allowing genuine innovations to thrive. He concluded by stressing the importance of positioning DeepMind to navigate potential market fluctuations, ensuring they can capitalize on both optimistic and challenging scenarios in the evolving AI landscape.