Based in Zurich, the team will focus on three areas - machine learning, natural language understanding and computer perception.
Emmanuel Mogenet, who will head the unit, said much of the research would be on teaching machines common sense.
There was, he said, "no limit on how big I grow the team".
"We are very ambitious in terms of growth. The only limiting factor will be talent," he told journalists gathered in Zurich to hear more about Google's AI plans.