Alphabet Shares Soared 4.9% After Bard Launch In Europe And Brazil
JAKARTA - Alphabet Inc's parent company Google shares rose 4.9% on Thursday, July 13 after the company announced the launch of an artificial intelligence (AI) chatbot called Bard in Europe and Brazil. This reduces their concerns about regulatory issues abroad.
The shares were last traded for 124.73 US dollars per lembang and have the potential to record the largest daily percentage increase since early February when the product was announced. Shares have also reached their highest level since mid-June during the trading session.
Alphabet shares managed to surpass overall market performance, with the S&P 500 index rising 0.6%, supported by data showing signs of declining inflation.
Barred's launch in the European Union was previously hampered by local privacy regulators, but Google said it had met with supervisors to reassure them of issues of transparency, choice, and control.
Danni Hewson, head of financial analysis at investment firm AJ Bell, attributed the increase in shares last Thursday to Bard's launch in Europe and Brazil as well as Bard's expansion into the new language.
"There are concerns about data and privacy. Obviously they managed to convince European regulators of these issues, which paved the way for further gain," Hewson said.
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Art Hogan, head of market strategy at B Riley Wealth, also linked Thursday's share increase to the launch of Bard in Europe and Brazil, which he said "marked the most significant product expansion since its launch in February and saw it compete with Microsoft Corp."
Microsoft shares, which support the AI ChatGPT rivals, rose 1.1% on Thursday.
Alphabet shares, which have seen a major surge in investor enthusiasm for generative artificial intelligence since February, have increased by about 41% so far this year. Microsoft shares rose 42% as far as 2023.
On Thursday too, TD Cowen raised Alphabet's share price target to 140 US dollars from 130 US dollars with reference to hopes of better growth in its search business.