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Alphabet (GOOGL) Boosts Gen AI Efforts With Gemma 2 Availability
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Alphabet (GOOGL - Free Report) is continuously riding on its growing generative AI capabilities.
Its division, Google, is making strong efforts to bolster its footprint in the global generative AI market, which, per a report by Fortune Business Insights, is expected to hit $67.2 billion in 2024 and reach $967.7 by 2032, seeing a CAGR of 39.6% between 2024 and 2032.
The company recently made Gemma 2, which belongs to its family of lightweight, state-of-the-art open models called Gemma, available to researchers and developers across the globe in both 9 billion (9B) and 27 billion (27B) parameter sizes.
Gemma 2, which is easily usable with preferred tools and workflows thanks to its compatibility with major AI frameworks, is available under Gemma’s license.
With the latest move, Google strives to enable enterprises of different sizes to accelerate their generative AI deployment and innovations. Hence, it is expected to drive the company’s customer momentum.
Growing Generative AI Efforts Aid Growth
Apart from Gemma 2 availability, Google recently added Anthropic’s newly released model, called Claude 3.5 Sonnet, to Vertex AI.
It launched the latest image generation model, namely Imagen 3, in preview for Vertex AI customers with early access.
The company also made Gemini 1.5 Pro available in a public preview on Vertex AI.
Google unveiled LearnLM, a family of generative AI models designed for conversational tutoring on various subjects.
Google also introduced various open-source tools to support generative AI projects and infrastructure. The new tools include the likes of MaxDiffusion, a collection of reference implementations of various diffusion models; JetStream, a new engine to run generative AI models; MaxText, a collection of text-generating AI models targeting tensor processing units; and NVIDIA’s (NVDA - Free Report) GPUs in the cloud.
Strengthening generative AI capabilities across various products will help Google deliver enhanced user experience, which, in turn, is expected to aid Alphabet’s overall financial performance in the days ahead.
The Zacks Consensus Estimate for 2024 total revenues stands at $291.26 billion, indicating year-over-year growth of 13.6%.
The consensus mark for 2024 earnings is pegged at $7.60 per share, indicating a 31.03% rise from the year-ago figure. The figure has been revised upward by 0.4% in the past 60 days.
Aggressive Generative AI Stance Aids Competitive Position
Google’s growing generative efforts are making the battle intensified for its peers like Microsoft (MSFT - Free Report) and Amazon (AMZN - Free Report) , which are also flexing muscles to bolster generative AI capabilities.
Microsoft continues to make strong efforts to boost its generative AI capabilities. Its integration of GPT-4 into its search engine Bing and browser Edge to deliver a ChatGPT-like experience to users remains noteworthy.
Microsoft Azure offers the Azure OpenAI Service, which enables the seamless application of LLM and generative AI techniques in various use cases. It recently launched the latest copilot templates on Azure OpenAI Service that allow retailers to build personalized shopping experiences and support store operations.
In addition, Microsoft and OpenAI are reportedly collaborating on an ambitious venture to establish a cutting-edge data center project to address the imperative need for advanced infrastructure to manage generative AI-driven complex data and tasks.
Meanwhile, Amazon’s AWS is riding on Amazon Bedrock, which has provided it with a breakthrough in the generative AI space. Amazon Bedrock offers seamless access to high-performing foundation models from AI companies through an API.
Its latest partnership with NVIDIA to power its portfolio with the generative AI technology is another positive. Per the terms, the NVIDIA Blackwell GPU platform will be available on AWS. This will help speed up inference workloads for resource-intensive, multi-trillion-parameter language models.
Conclusion
Alphabet’s strengthening generative AI capabilities, coupled with its strong competitive position, are expected to instill investor optimism in its stock in the days ahead.
Moreover, its dominant position in the search engine market, solid momentum with YouTube, robust demand for Android, expanding cloud business, and leading position in autonomous driving space are other major positives that are expected to boost Alphabet’s prospects further.
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Alphabet (GOOGL) Boosts Gen AI Efforts With Gemma 2 Availability
Alphabet (GOOGL - Free Report) is continuously riding on its growing generative AI capabilities.
Its division, Google, is making strong efforts to bolster its footprint in the global generative AI market, which, per a report by Fortune Business Insights, is expected to hit $67.2 billion in 2024 and reach $967.7 by 2032, seeing a CAGR of 39.6% between 2024 and 2032.
The company recently made Gemma 2, which belongs to its family of lightweight, state-of-the-art open models called Gemma, available to researchers and developers across the globe in both 9 billion (9B) and 27 billion (27B) parameter sizes.
Gemma 2, which is easily usable with preferred tools and workflows thanks to its compatibility with major AI frameworks, is available under Gemma’s license.
With the latest move, Google strives to enable enterprises of different sizes to accelerate their generative AI deployment and innovations. Hence, it is expected to drive the company’s customer momentum.
Growing Generative AI Efforts Aid Growth
Apart from Gemma 2 availability, Google recently added Anthropic’s newly released model, called Claude 3.5 Sonnet, to Vertex AI.
It launched the latest image generation model, namely Imagen 3, in preview for Vertex AI customers with early access.
The company also made Gemini 1.5 Pro available in a public preview on Vertex AI.
Google unveiled LearnLM, a family of generative AI models designed for conversational tutoring on various subjects.
Google also introduced various open-source tools to support generative AI projects and infrastructure. The new tools include the likes of MaxDiffusion, a collection of reference implementations of various diffusion models; JetStream, a new engine to run generative AI models; MaxText, a collection of text-generating AI models targeting tensor processing units; and NVIDIA’s (NVDA - Free Report) GPUs in the cloud.
Strengthening generative AI capabilities across various products will help Google deliver enhanced user experience, which, in turn, is expected to aid Alphabet’s overall financial performance in the days ahead.
The Zacks Consensus Estimate for 2024 total revenues stands at $291.26 billion, indicating year-over-year growth of 13.6%.
The consensus mark for 2024 earnings is pegged at $7.60 per share, indicating a 31.03% rise from the year-ago figure. The figure has been revised upward by 0.4% in the past 60 days.
Currently, Alphabet sports a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Aggressive Generative AI Stance Aids Competitive Position
Google’s growing generative efforts are making the battle intensified for its peers like Microsoft (MSFT - Free Report) and Amazon (AMZN - Free Report) , which are also flexing muscles to bolster generative AI capabilities.
Microsoft continues to make strong efforts to boost its generative AI capabilities. Its integration of GPT-4 into its search engine Bing and browser Edge to deliver a ChatGPT-like experience to users remains noteworthy.
Microsoft Azure offers the Azure OpenAI Service, which enables the seamless application of LLM and generative AI techniques in various use cases. It recently launched the latest copilot templates on Azure OpenAI Service that allow retailers to build personalized shopping experiences and support store operations.
In addition, Microsoft and OpenAI are reportedly collaborating on an ambitious venture to establish a cutting-edge data center project to address the imperative need for advanced infrastructure to manage generative AI-driven complex data and tasks.
Meanwhile, Amazon’s AWS is riding on Amazon Bedrock, which has provided it with a breakthrough in the generative AI space. Amazon Bedrock offers seamless access to high-performing foundation models from AI companies through an API.
Its latest partnership with NVIDIA to power its portfolio with the generative AI technology is another positive. Per the terms, the NVIDIA Blackwell GPU platform will be available on AWS. This will help speed up inference workloads for resource-intensive, multi-trillion-parameter language models.
Conclusion
Alphabet’s strengthening generative AI capabilities, coupled with its strong competitive position, are expected to instill investor optimism in its stock in the days ahead.
Moreover, its dominant position in the search engine market, solid momentum with YouTube, robust demand for Android, expanding cloud business, and leading position in autonomous driving space are other major positives that are expected to boost Alphabet’s prospects further.