How Google is Winning the AI Race

Google's stock has been on a steady climb, bolstered by a recent favorable court decision and its dominant position in the AI race.

Gemini's Rising Popularity

Google's AI chatbot, Gemini, is gaining traction, particularly after the introduction of new image creation features. This surge in usage has further propelled Google's stock price.

The Power of TPUs

Google's proprietary TPUs (Tensor Processing Units) are in high demand. These chips outperform competitors in handling complex AI tasks, boast a longer lifespan, and enhance efficiency by 50%. Developers are increasingly switching to Google's technology, despite the higher cost.

Profitability in AI

Unlike many AI startups, Google is already profitable across multiple sectors. Companies like OpenAI, known for ChatGPT, are still in a phase of heavy investment with limited returns.

Vertical Integration

Google's business model mirrors that of major oil companies like Exxon, controlling everything from chip manufacturing to data centers and software management. This vertical integration strategy has proven successful for industry giants.

Customer Trust

Google's established brand and proven track record foster customer trust, making them more likely to adopt Google's AI solutions.

The Profitability Question

The critical question remains: Is Google winning the AI race without a clear measure of its profits? For now, the market seems to believe so.