CONNECT WITH US
Tech

Tech

Alphabet loses over $500 billion in market value as AI hits Google search

Business Standard - Technology logo

Published on

Add as a preferred source on Google
Alphabet loses over $500 billion in market value as AI hits Google search

Home / Companies / News / Alphabet loses over $500 billion in market value as AI hits Google search

Alphabet loses over $500 billion in market value as AI hits Google search

Alphabet lost over $500 billion in market value as weaker-than-expected search and advertising sales raised concerns over AI's impact on Google's core business and soaring infrastructure costs.

Alphabet shares plunged more than 13%, wiping over $500 billion off the Google parent's market value, as disappointing search and advertising sales heightened concerns over AI spending and its impact on Google's core business. (Photo: Reuters)

Bloomberg 6 min read Last Updated : Oct 29 2026 | 11:27 PM IST

Alphabet Inc.’s shares fell more than 13%, for its biggest-ever market value wipeout of more than $500 billion, after the company reported disappointing search and advertising sales that reinforced investor concerns about AI’s threat to its core business.

The Google parent reported sales, excluding partner payouts, of $111.2 billion for the third quarter, falling short of analysts’ projections. Ad sales from search and other channels — a business line that accounts for roughly half of overall revenue and is critical to financing the massive AI investments — also missed forecasts, growing at the slowest pace in five quarters.

The results and share reaction “show us the margin for error when a hyperscaler spending hundreds of billions on the AI infrastructure buildout” posts disappointing results in its core business, JPMorgan analysts including Doug Anmuth said in a note.

m. in New York.



Source link
Related Topics:Tech

Disclaimer

We strive to uphold the highest ethical standards in all of our reporting and coverage. We TheMorningPulse.fyi want to be transparent with our readers about any potential conflicts of interest that may arise in our work. It's possible that some of the investors we feature may have connections to other businesses, including competitors or companies we write about. However, we want to assure our readers that this will not have any impact on the integrity or impartiality of our reporting. We are committed to delivering accurate, unbiased news and information to our audience, and we will continue to uphold our ethics and principles in all of our work. Thank you for your trust and support.