If you've tried creating marketing materials with AI image generators, you've probably seen the problem. You ask for a beautiful cafe sign that says "Fresh Coffee Daily," and instead you get gorgeous imagery with text that reads "Frseh Coffe Daly" or worse, complete gibberish that looks vaguely like letters but makes absolutely no sense.
That frustration just ended. Google's Imagen 4, announced at I/O 2025, achieves 95% text accuracy in generated images. For Australian businesses creating marketing materials, product packaging, and social media graphics, this isn't just an improvement. It's a genuine breakthrough.
Why AI Image Generators Couldn't Handle Text
Before we celebrate what's changed, let's understand why AI struggled with something humans find straightforward. According to TechCrunch's analysis, image generators aren't actually reading text. They're drawing it, based on patterns they've seen in training data.
Think about it this way. AI image models like DALL-E, Midjourney, and earlier versions of Imagen were trained on millions of images. They learnt that signs, posters, and product labels have specific visual patterns that look like text. But they didn't learn what words *mean* or how letters combine to form actual readable content.
PetaPixel's technical breakdown explains it perfectly: "AI learns that signs, covers, and posters have wiggly patterns in specific locations that look a lot like text. Because it's making predictions based on likelihood and not on hard and fast linguistic rules, what it generates will look almost but not entirely correct."
The infamous Willy Wonka Experience in Glasgow demonstrated this problem spectacularly. AI-generated posters featured text like "encherining" and "cartchy tuns" (presumably meant to be "enchanting" and "catchy tunes"). The event became a cautionary tale about relying on AI imagery without proper quality control.
Matthew Guzdial, an AI researcher at the University of Alberta, draws a parallel to another problem that's mostly been solved: "Even just last year, all these models were really bad at fingers, and that's exactly the same problem as text. They're getting really good at it locally, but they're really bad at structuring these whole things together."
Imagen 4's 95% Text Accuracy Breakthrough
Google's Imagen 4 represents a massive leap forward. According to comparative analysis, Imagen 4 achieves "excellent (95% accuracy)" for text rendering, compared to Imagen 3's "decent (70% accuracy)."
That 25 percentage point improvement might not sound dramatic on paper, but in practice, it's the difference between "unusable without extensive editing" and "production-ready out of the box."
The model was officially announced at Google I/O 2025 in May, with general availability following in June through the Gemini API and Google AI Studio. According to Google's official announcement, Imagen 4 is now available on Vertex AI in public preview.
What makes Imagen 4's text rendering so impressive isn't just accuracy. It's typography quality. The model understands kerning (letter spacing), can maintain consistent font styles, and handles complex layouts like multi-line text blocks and curved text on product labels.
Reviews from early testers consistently praise the text rendering: "One major area where Imagen 4 truly shines is text rendering. Whether creating marketing materials or commercial branding, Imagen 4 handles text with exceptional accuracy, ensuring clear, readable typography that requires no additional editing."
How It Compares to DALL-E 3 and Midjourney
The AI image generation market has three major players: Google's Imagen, OpenAI's DALL-E, and Midjourney. Each has different strengths, but when it comes to text rendering, there's now a clear hierarchy.
According to detailed comparisons, here's how they stack up:
Imagen 4: 95% text accuracy. Handles complex typography, multi-line text, and maintains consistent styling. Best for marketing materials requiring precise text.
DALL-E 3/GPT-4o: Strong text rendering capabilities. Analysis from Opace Agency notes that "DALL-E integrated text into its output image flawlessly with a convincing 3D effect and without errors." DALL-E has been the go-to choice for marketers who needed reliable text in AI images.
Midjourney: Despite improvements, still struggles with text rendering. According to comparative testing, "Midjourney continues to struggle with text rendering, particularly for longer passages or precise formatting." For projects where perfect text accuracy is critical, Midjourney isn't recommended.
The consensus from professional designers is clear: if you need artistic, stylised imagery without text, Midjourney excels. If you need accurate text in your images, Imagen 4 and DALL-E 3 are your only reliable options, with Imagen 4 now taking the lead.
Business Applications for Australian Companies
For Australian businesses, Imagen 4's text accuracy opens up practical applications that were previously impossible or required expensive manual design work.
Marketing Materials
Create social media graphics with perfect typography in seconds. Need 20 variations of an Instagram post promoting your summer sale? Imagen 4 can generate them with consistent branding and readable text, all without hiring a designer for every iteration.
Real-world case studies show impressive results:
Kraft Heinz: Their Tastemaker platform uses Imagen to dramatically accelerate creative and campaign development processes.
Brandtech/Pencil: Pilots showed an average 50% reduction in costs and time-to-market efficiencies. This enables previously impossible ideas to turn into real marketing content in minutes.
Product Packaging and E-commerce
Australian e-commerce businesses can generate product photography with proper labelling, price tags, and promotional text. According to Google's documentation, Imagen's product recontext feature lets you edit product images into different scenes or backgrounds, perfect for seasonal campaigns.
Imagine you're selling skincare products. You can generate lifestyle photography showing your moisturiser in various settings (bathroom counter, beach bag, gym locker) with the product label clearly readable in every shot. No photoshoot required.
Signage and Print Materials
With 2K resolution support and proper text rendering, Imagen 4 can create print-ready posters, banners, and signage. According to Google's specifications, the upscaling feature can increase images to 17 megapixels, suitable for medium-format printing.
While it doesn't reach true 8K resolution natively, the combination of 2K generation plus upscaling produces professional results for most business applications.
Speed Matters
Time is money, especially for marketing teams working on tight deadlines. Imagen 4 Fast, a variant announced alongside the main model, promises generation speeds up to 10 times faster than Imagen 3. At $0.02 per image (compared to $0.04 for standard Imagen 4), it's perfect for high-volume projects.
Testing results confirm this: "Imagen 4 offers lightning-fast generation times, typically in seconds. Midjourney has an average generation time of 20-40 seconds, which is a bit slower."
Getting Started with Imagen 4 on Vertex AI
Australian businesses can access Imagen 4 through Google Cloud's Vertex AI platform. Here's what you need to know:
Pricing Structure
According to Google's pricing:
- Imagen 4 Fast: $0.02 per output image (high-volume, rapid generation)
- Imagen 4: $0.04 per output image (balanced quality and speed)
- Imagen 4 Ultra: $0.06 per output image (maximum quality, photorealism)
For most marketing applications, standard Imagen 4 at $0.04 per image offers the best value. Ultra is worth the premium for hero imagery, product launches, and campaigns where maximum visual quality justifies the 50% price increase.
Technical Integration
Google's developer documentation provides comprehensive guidance for integration. The model supports:
- Multilingual prompt support (crucial for businesses targeting diverse Australian markets)
- API access through Vertex AI
- Batch processing for high-volume campaigns
- Integration with Google Ads for direct campaign deployment
Google even provides tutorials on generating images with Vertex AI and uploading them directly to Google Ads campaigns, streamlining the entire workflow.
Enterprise Features
For larger Australian organisations, Vertex AI offers enterprise-grade features:
- Data residency: Keep generated images within Australian data centres
- Usage monitoring: Track costs and usage across teams
- API rate limits: Scale based on business needs
- Security compliance: Meet corporate and regulatory requirements
Companies like Klarna are already leveraging Imagen on Vertex AI to boost content creation efficiency, significantly reducing production timelines for everything from b-roll to YouTube promotional content.
Limitations to Keep in Mind
Even with 95% accuracy, Imagen 4 isn't perfect. Here's what you should watch for:
Complex Typography
While simple text in standard fonts works brilliantly, extremely complex typography (ornate scripts, heavy stylisation) can still produce errors. Testing by professional users recommends sticking to clean, readable fonts for best results.
Text-Heavy Designs
Imagen 4 excels at short phrases and moderate amounts of text. Full paragraphs or complex layouts with multiple text blocks can still be challenging. For text-heavy designs like brochures or detailed infographics, traditional design tools remain more reliable.
Australian-Specific Content
The model's training data includes global content, which means references to Australian culture, locations, or businesses might not always be perfectly contextualised. You might need to provide more detailed prompts to get authentically Australian results.
Quality Control Still Matters
95% accuracy means about 1 in 20 generations might have text issues. Always review generated images before using them in professional contexts. This is particularly crucial for legal text, medical information, or any content where accuracy is critical.
The Future of AI Image Generation
Imagen 4's text breakthrough signals where AI image generation is heading. According to AI researcher predictions, we're moving from models that "draw" text to models that genuinely understand semantic relationships between visual and linguistic elements.
Google DeepMind's roadmap suggests continued improvements in:
- Resolution: Moving towards 4K and 8K native generation
- Consistency: Multi-image generation with consistent branding
- Integration: Deeper connections with other Google AI services
- Customisation: Fine-tuning for specific industries and brand guidelines
For Australian businesses, this means AI image generation is transitioning from "interesting experimental tool" to "core component of marketing infrastructure."
Should Your Business Use Imagen 4?
Here's a practical decision framework:
Imagen 4 is ideal if you need:
- High-volume social media graphics with text
- Product photography with readable labels
- Marketing materials with clear typography
- Fast iteration on design concepts
- Cost-effective alternative to hiring designers for every variation
Stick with traditional design tools if you need:
- Complex multi-page layouts
- Extensive text-heavy content
- Highly stylised artistic imagery (consider Midjourney instead)
- Designs requiring precise brand compliance
- Legal or medical content requiring 100% accuracy
Most Australian marketing teams will find the sweet spot is using both. Use Imagen 4 for rapid concept development, social media content, and high-volume campaigns. Use professional designers for hero imagery, complex layouts, and brand-defining creative work.
Practical Next Steps
If you're ready to experiment with Imagen 4:
- Start with Google AI Studio: Free testing available for limited use
- Test with your actual use cases: Generate examples of the marketing materials you actually need
- Compare quality: Run the same prompts through DALL-E 3 and Imagen 4 to see which fits your style
- Calculate ROI: Track time saved versus cost per image to determine value
- Scale gradually: Start with low-stakes applications before using for major campaigns
The text accuracy problem that's plagued AI image generation since the beginning is finally solved. For Australian businesses looking to accelerate content creation without sacrificing quality, Imagen 4 represents a genuine turning point.
It's not perfect. You'll still need human oversight. But at 95% accuracy, we've crossed the threshold from "interesting but frustrating" to "genuinely useful tool that saves time and money."
That's a difference worth paying attention to.
---
Sources
- Imagen 4 vs Imagen 3 Comparison
- Google I/O 2025 Imagen 4 Announcement
- Imagen 4 Family General Availability
- Google Cloud Vertex AI Announcement
- Why AI Can't Write Text in Images
- Why AI Image Generators Struggle with Text
- Fixing Gibberish Text in AI Images
- Imagen 4 vs Midjourney Comparison
- GPT-4o vs DALL-E Text Generation
- Midjourney vs DALL-E Comparison
- Midjourney vs DALL-E Content Analysis
- Imagen 4 Review and Testing
- Google Imagen 4 AI Image Generation Guide
- Imagen 4 Review 2025
- Vertex AI Product Recontext Documentation
- Imagen 4 Upscaling Documentation
- Generate Images for Google Ads Tutorial
- Google Vertex AI Platform
- Imagen 4 on Vertex AI
- Why AI Fails with Text in Images
- Google DeepMind Imagen
- Imagen 4 Gemini API Integration
