Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL) stock slipped 2% through 10:15 a.m.
ET Friday after Bloomberg reported, Thursday afternoon, that its Gemini 3.5 Pro flagship AI model is “months behind schedule” and at risk of losing the AI footrace to OpenAI and Anthropic
Google wants to code What’s holding up Gemini 3.5 Pro? Alphabet is trying to get the model more competitive with OpenAI and Anthropic in coding software — and its engineers are frustrated that Gemini 3.5 Pro still lags its rivals in coding ability. The report also notes that Alphabet is struggling to balance the demands of multiple stakeholders using its models in Google Search, Google Maps, and on YouTube, so that Gemini 3.5 Pro will work well for all of them — while also being able to code well.
But not too well. Further complicating matters is interference from the U.S. government, which wants to test and approve bleeding-edge AI models before they hit the market to ensure they’re safe and won’t pose security risks to other companies. What it means for Alphabet Why is this concerning for Alphabet?