Google’s Gemini Diffusion demo didn’t get much airtime at I/O, but its blazing speed—and potential for coding—has AI insiders speculating about a shift in the model wars.

Google on Tuesday revealed new Android development tools, a new mobile AI architecture, and an expanded developer community. The announcements accompanied the unveiling of an AI Mode for Google Search at the Google I/O keynote in Mountain View, California.

Gemini 2.5 Flash plays the role of the default model in the Gemini chatbot now. It's supposed to be the fast, cost-efficient model for daily use. Google says it’s better than its predecessors, like Gemini 2.0 Flash, in terms of understanding images and text while still being much cheaper to run.

Google says the release version of 2.5 Flash is better at reasoning, coding, and multimodality, but it uses 20–30 percent fewer tokens than the preview version. This edition is now live in Vertex AI, AI Studio, and the Gemini app. It will be made the default model in early June.

Announced during Google I/O 2025, this move will bring smarter, natural voice interactions to Volvo cars, improving navigation, translation, and in-car controls. Volvo also becomes Google's reference platform for future automotive tech.

Google CEO Sundar Pichai said the company's Gemini AI chatbot app has more than 400 million MAUs ahead of Google I/O 2025.

Google’s AI models have a secret ingredient that’s giving the company a leg up on competitors like OpenAI and Anthropic. That ingredient is your data, and it’s only just scratched the surface in terms of how it can use your information to “personalize” Gemini’s responses.

Google's new AI tech, including Veo 3, Flow, and Gemini, was used to create films like Ancestra. Other AI movies are coming.