Alphabet loses more than $700 billion in value as AI concerns grow

Alphabet loses more than $700 billion in value as AI concerns grow

The stock fell about 15% from its May peak amid questions over executive departures, model delays and rising infrastructure costs.

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By Editorial Team
Edited by Estefano Gomez

Alphabet has lost more than $700 billion in market value since its May peak as investors reassess the company’s position in the artificial intelligence race.

The stock is down about 15% from its record high after rising more than 150% in the previous 12 months. Alphabet shares were down less than 1% in early trading Thursday, according to Bloomberg.

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Investor concerns include a series of high-profile departures from Google. Two senior employees joined Anthropic and OpenAI, Jeff Dean left to launch a startup with several colleagues, and Demis Hassabis stepped down as Google DeepMind’s chief executive to become chairman.

Alphabet’s shares fell 4% on Aug. 5 after the leadership news, wiping $186 billion from its market value in a single session.

The company is also facing delays to Gemini 3.5 Pro, particularly as it works to improve coding capabilities. Alphabet released Gemini 3.7 Flash two weeks ago without providing a timetable for the larger model.

Google said its AI momentum and shipping velocity were at an all-time high, citing Gemini 3.7 Flash’s growth and more than one billion downloads for Gemma. Alphabet’s infrastructure spending remains under scrutiny after a $25 billion bond offering in early August.

Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy.
TECHNOLOGY
Alphabet loses more than $700 billion in value as AI concerns grow
Alphabet loses more than $700 billion in value as AI concerns grow

The stock fell about 15% from its May peak amid questions over executive departures, model delays and rising infrastructure costs.

By Editorial Team
Edited by Estefano Gomez

Share

Add us on Google

Alphabet has lost more than $700 billion in market value since its May peak as investors reassess the company’s position in the artificial intelligence race.

The stock is down about 15% from its record high after rising more than 150% in the previous 12 months. Alphabet shares were down less than 1% in early trading Thursday, according to Bloomberg.

Advertisement

Investor concerns include a series of high-profile departures from Google. Two senior employees joined Anthropic and OpenAI, Jeff Dean left to launch a startup with several colleagues, and Demis Hassabis stepped down as Google DeepMind’s chief executive to become chairman.

Alphabet’s shares fell 4% on Aug. 5 after the leadership news, wiping $186 billion from its market value in a single session.

The company is also facing delays to Gemini 3.5 Pro, particularly as it works to improve coding capabilities. Alphabet released Gemini 3.7 Flash two weeks ago without providing a timetable for the larger model.

Google said its AI momentum and shipping velocity were at an all-time high, citing Gemini 3.7 Flash’s growth and more than one billion downloads for Gemma. Alphabet’s infrastructure spending remains under scrutiny after a $25 billion bond offering in early August.

Disclosure: This article was edited by Editorial Team. For more information on how we create and review content, see our Editorial Policy.