Google Stock Drops After OpenAI Announces Web Search Tool, Gemini Model Upgrade
Shares of Google parent company Alphabet (GOOGL) experienced a decline on Thursday following the release of a new report by rival AI company OpenAI. The report unveiled plans for OpenAI to potentially launch its own web search tool, posing a possible threat to Google’s dominant position in the search engine industry.
At the same time, Google announced the availability of its upgraded AI training model, Gemini 1.5, which the company claims has significantly improved performance. Google will also be releasing a version called Gemini 1.5 Pro for early testing purposes.
Demis Hassabis, CEO of Google’s AI research lab, DeepMind, expressed excitement about the advancements in the AI field. He stated that these new developments have the potential to enhance the lives of billions of people in the coming years. Hassabis also highlighted the rigorous testing and refinement efforts that have gone into improving the Gemini model since its initial launch in December 2023.
Meanwhile, The Information reported that OpenAI is developing its own web search product that will directly compete with Google. OpenAI’s technology has already been incorporated into Microsoft’s Bing search engine, with Microsoft being the largest investor in OpenAI.
On the stock market, Google’s shares fell by 2.5% to reach $142.26. This decline brings Google stock closer to its 50-day moving average, which could be a key level to watch for investors. If the stock bounces back from this level, it may present a potential buying opportunity.
In conclusion, Google’s stock experienced a drop following OpenAI’s announcement about its web search tool. Furthermore, Google introduced Gemini 1.5, an improved AI training model, in an effort to stay competitive in the rapidly advancing field of artificial intelligence. As investors analyze the implications of these developments, the future of Google’s position in the search engine industry remains uncertain.
Note: This article is generated by OpenAI’s language model and has been written in accordance with the provided guidelines.
