Listen to the podcast:
Alphabet Inc. saw a $100 billion drop in market value Wednesday as a result of its new chatbot spreading false information at a promotional video and company event that failed to impress.
These developments added to growing concerns that Google’s parent company is losing ground to competitor Microsoft Corp.
Read More: Google CEO Sundar Pichai
During regular trading hours, Alphabet share prices fell as much as 9%, with volumes that were roughly three times the 50-day moving average. They recouped some of their previous losses and remained essentially unchanged. The stock price fell 40 percent over the course of the previous year, but has gained 15 percent since the beginning of this year, excluding gains made on Wednesday.
An error was made in the announcement of Google’s new chatbot, Bard, which launched on Monday. The inaccuracy concerned which satellite was the first to take pictures of a planet outside the solar system containing Earth. Reuters was the first news organization to expose the error.
After OpenAI, a startup that Microsoft is backing with roughly $10 billion, unveiled software in November that wowed consumers and became a fixture in Silicon Valley circles for its surprisingly accurate and well-written answers to simple prompts, Google has been hot on its heels. OpenAI’s software has become a fixture in Silicon Valley circles for its surprisingly precise and well-written responses to simple prompts.
The presentation that Google streamed live on Wednesday morning did not provide details on how or when the company plans to include Bard in its core search feature. Microsoft hosted an event the day before to promote the fact that it had already made a version of its Bing search available to the general public that included built-in ChatGPT features.
Also Read: Elon Musk Master Plan 3
Mountain View, California-based Google was the company that caught Bard’s bug just before the filing.
According to Gil Luria, a senior software analyst at DA Davidson, “While Google has been a leader in AI innovation in recent years, they seemed to have fallen asleep implementing this technology into their search product.” [Citation needed] “While Google has been a leader in AI innovation in recent years,” “Over the past few weeks, Google has been working around the clock to catch up with Search. As a result, yesterday’s (Tuesday) announcement had to be hastily prepared and they made the humiliating mistake of presenting the wrong answer during their demo.”
On Wednesday, Microsoft share prices rose nearly 3 percent but were unchanged after the market closed.
On Twitter, Alphabet shared a short GIF video showing Bard in action with the promise that it would help explain difficult concepts. However, the service ended up giving an incorrect answer.
Within the ad, Bard is presented with the following question: “What recent findings from the James Webb Space Telescope (JWST) can I discuss with my 9-year-old son?” In his answer, Bard provides a number of answers, one of which suggests that the James Webb Space Telescope (JWST) was used to take the first pictures of an exoplanet, which is a planet that exists outside of the solar system containing Earth. . However, NASA has acknowledged that the European Southern Observatory’s Very Large Telescope (VLT) was responsible for taking the first photos of an extrasolar planet in 2004.
Also Read: Google Maps Launches Immersive View Powered by AI
According to a statement from a Google official, “this underscores the need for a rigorous testing procedure,” which is something Google is beginning this week with the launch of its Trusted Tester program. “To ensure that Bard’s responses meet a high standard of quality, safety, and grounding in real-world knowledge, we will combine feedback we get from external sources with our own internal testing.”
As a result of declining ad spending, Alphabet just had a bad fourth quarter.
The search and advertising giant is reportedly stepping up its attempts to keep up with OpenAI and other competitors by bringing in the company’s co-founders Sergey Brin and Larry Page.
According to King Lip, chief strategist at Baker Avenue Wealth Management, which owns shares in both Alphabet and Microsoft, “People are starting to wonder whether or not Microsoft will be a credible rival today to Google’s true core business. ”
However, concerns regarding Alphabet may be overstated, according to Lip, who stated that “I still think Bing is a long, long way from Google’s search chops.”
After tens of thousands of job losses in recent weeks and corporate promises to scale back so-called moonshot initiatives, tech companies have been reinvigorated with the release of new ChatGPT software. According to research by Reuters, top executives in the technology sector have become obsessed with artificial intelligence (AI), and as a result, the topic has appeared on earnings calls in recent quarters at up to six times the rate. . than in previous periods.
Know more: NASA will test nuclear fission spacecraft engine
AI-powered search is attractive because it has the potential to return results in plain language rather than a list of links. This could make browsing much faster and more efficient. It is not yet clear what effects this would have on targeted advertising, which is the main source of revenue for search engines like Google.
Consumers who tested the service found that it has built-in biases that can skew results, sexualize photos, and even plagiarize text, which is a problem for companies implementing AI chatbot systems. For example, in 2016, Microsoft launched a chatbot on Twitter that almost immediately began creating racist comments before going offline. In addition to this, artificial intelligence used by the CNET news website was found to have produced articles that contained factual errors or were plagiarized.
As this article was written, Bard’s ad had already been viewed more than a million times on Twitter.
Subscribe to our latest newsletter
To read our exclusive content, sign up now. $5/month, $50/year