CIC’s Ethridge: ‘Alphabet will lose this chatbot war’

By:
on Apr 20, 2023
Listen
  • Google is merging "Brain" with "DeepMind" to accelerate its AI ambitions.
  • CIC Wealth's Malcolm Ethridge says he is still a seller of "GOOGL".
  • Google shares are currently up about 20% versus the start of the year.

Follow Invezz on Telegram, Twitter, and Google News for instant updates >

Alphabet Inc (NASDAQ: GOOGL) just announced plans of putting together two of its research teams working on artificial intelligence to expand more quickly in what has lately been the hottest area within technology.

Are you looking for signals & alerts from pro-traders? Sign-up to Invezz Signals™ for FREE. Takes 2 mins.

Google to merge Brain with DeepMind

Copy link to section

On Thursday, Google said it’s combining “Brain” – its internal research team with DeepMind – a startup it bought in 2014 to accelerate its AI ambitions.

Still, Malcolm Ethridge of CIC Wealth remains bearish on the stock. Speaking with CNBC’s Scott Wapner today, he said:

Market agrees with me. Look at Google share price today. This was, I imagine, meant to be a monumental announcement and the market responded with a big old yawn. So, I am still a seller.

For the year, though, Google shares are up 20% at writing. Also on Thursday, Microsoft integrated the ChatGPT technology into Viva – its employee experience platform.

What else we know about Google DeepMind

Copy link to section

The new division that Alphabet Inc is calling Google DeepMind will operate under the leadership of Demis Hassabis who co-founded DeepMind.

Jeff Dean – the Head of Google Research will take on a new role of Chief Scientist. On CNBC’s “Closing Bell”, Ethridge added:

Market is confirming what I was concerned about that Alphabet’s ultimately going to lose this chatbot war. I just don’t see where, as a shareholder in Alphabet, this turns out to be a winning bet in near term.

The news arrives more than two months after Google’s Bard failed on its very first day on the job. Earlier this week, Samsung was reported considering switching from Google to Bing as the default search engine on its smartphones (read more).

Ad

Want easy-to-follow crypto, forex & stock trading signals? Make trading simple by copying our team of pro-traders. Consistent results. Sign-up today at Invezz Signals.

Learn more
Alphabet (GOOGL) USA AI North America Stock Market Tech World