Alphabet Stock Plunge Erases $100 Billion After New AI Chatbot Gives Wrong Answer In Ad
The bar is set pretty high. ChatGPT’s not perfect.
Investors have been enthralled by artificial intelligence this year, thanks to the popularity of ChatGPT. The app was launched in November, and its creator, OpenAI, has earned a valuation of $29 billion. Alphabet made its Bard announcement one day before Microsoft’s press conference, where they announced an investment in OpenAI. This has caused shares of Silicon Valley staple OpenAI to surge by nearly 20% over the last month. Ives, in a client note following the event, reiterated that the stock rating was outperform.
Bank of America analysts are bullish about Google’s AI strategies despite the apparent error. They wrote in a client note that Google has \”years of investment\” into the technology and is well prepared to capture a substantial part of the market. This is especially true since Google’s search engine enjoys a huge distribution advantage over Microsoft. The analysts do warn that safety concerns such as bias or inaccuracy of results, disinformation, and the use of models to harm are major risks.
Sundar Pichai, Alphabet’s CEO, said that AI is the most advanced technology they are currently working on. He made this statement when he announced a new chatbot in the past week.
Source:
https://on.forbes.com/61853YBQF
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