The UK's competition watchdog has proposed sweeping new rules to curb Google's dominance in search, including a requirement to let websites opt out of powering AI-generated summaries without disappearing from results entirely. Draft conduct rules from the Competition and Markets Authority, the first under new digital markets powers, also aim to prevent the Alphabet Inc (NASDAQ:GOOG) company from unfairly prioritising advertisers or punishing critics, and mandate more transparent ranking processes.
Under the plans, publishers could stop their content being used to power AI Overviews, or to train AI models outside of Google search and make sure their content is properly cited in AI results.
Google has accelerated a series of acquisitions, talent deals and strategic investments aimed at strengthening its artificial intelligence (AI) stack across media generation, voice interaction and international markets. The moves, executed over the past several weeks, reflect a more targeted expansion strategy as competition intensifies around foundation models, multimodal AI and distribution outside the U.S.
The European Union said Tuesday it's stepping in to make sure Google gives rival AI companies and search engines access to Gemini AI services and data as required by the bloc's flagship digital rulebook.
Alphabet (NASDAQ:GOOGL) stock was the biggest Mag Seven winner last year, thanks in part to its big lead in AI.
Alphabet Inc. is downgraded to Hold, as share pricing has nearly doubled in a year and now appears fully valued. Valuation multiples are at multi-decade highs, with EV/EBITDA at 26x trailing results. Today's FCF yield has dropped to a worrisome 1.8%. Technical trading momentum has been fading, insider selling is heavy, and risk/reward now favors waiting for a better entry.
The Commission said it will tell Google how it should grant rival AI-service providers equal access to features and tools, and will assist it to comply with letting competing search engines access datasets for areas such as ranking.
META heads into Q4 earnings with strong ad growth and rising AI momentum, but heavy spending, Reality Labs losses and valuation risks loom.
Google agreed to pay $68 million to settle claims its voice assistant illegally spied on users to, among other things, serve them advertisements, Reuters reports.
Alphabet Inc. (GOOG) reached $333.59 at the closing of the latest trading day, reflecting a +1.57% change compared to its last close.
Alphabet (GOOGL) closed the most recent trading day at $333.25, moving +1.62% from the previous trading session.
Google has reportedly agreed to a preliminary settlement in a class action lawsuit that alleged that the firm's Google Assistant spied on smartphone users. The proposed $68 million settlement was filed Friday (Jan. 23) and requires approval by a judge, Reuters reported Monday (Jan. 26).