Alphabet is hosting the Google I/O conference for software developers on Tuesday, but an announcement from artificial intelligence startup OpenAI could come a day earlier that reshapes the internet search market. Google stock dipped today amid a report that OpenAI will unveil a direct competitor to Google's search engine on Monday.
OpenAI launched ChatGPT, its popular chatbot, in November 2022. OpenAI's ChaptGPT provides answers to prompts while Google's search engine sends users to websites, sponsored or not.
While OpenAI's technology has been integrated into Microsoft's Bing search engine, Google hasn't lost much market share. Microsoft is the biggest investor in OpenAI.
Further, Google faces a new internet search challenger in well-funded startup Perplexity.
Google Stock: AI Announcements
Meanwhile, Google has been expected to make artificial intelligence announcements at the I/O conference for software developers. Google I/O keynote addresses will be live-streamed.
There's speculation that Google's "Search Generative Experience," or SGE, will officially launch at the event. Google's SGE integrates generative AI models.
Google has been testing the economics of SGE responses vs. computing costs associated with its traditional search engine. Also, Google reportedly has been exploring options to charge users for its new AI-powered internet search features as part of a premium subscription product.
Google's traditional search engine would remain free, with ads continuing to appear alongside search results.
On the stock market today, Google stock dipped 0.7% to 168.70 in afternoon trading. GOOGL stock has gained 20% in 2024.
Google Stock Technical Ratings
Further, Google stock holds an entry point of 153.78. As of the market open on May 10, GOOGL stock is extended and trades above a 5% buy zone.
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Follow Reinhardt Krause on Twitter @reinhardtk_tech for updates on artificial intelligence, cybersecurity and cloud computing.
