That’s a problem, cos it just spent $51 billion on infrastructure and still needs to rent compute from others to run its cloud

Shares in Google’s parent company Alphabet dived by almost ten percent on Wednesday, after the web giant admitted AI-powered searches earn it less money than it earns by serving ads with its old-school search engine.

  • CompactFlax@discuss.tchncs.deEnglish
    122·
    10 days ago

    put genAI into search.

    Cost per search response skyrockets

    Unable to monetize search anymore

    get sued for providing factually incorrect answers in genAI responses

    The greatest business minds of our generation.

    • tmyakal@infosec.pub
      26·
      9 days ago

      Company whose business model is to sell advertisements for websites tries to eliminate both, doesn’t understand where it went wrong.

      • Postimo@lemmy.zip
        5·
        9 days ago

        Google’s revenue from search rose 12 percent year-over-year to $63.25 billion, a little lower than the 14.5 percent growth the company reported in last year’s Q3.

        It’s wild that it took a 2.5% search revenue miss to make them wonder if maybe this is actually dumb as shit. 🤔

    • a_non_monotonic_function@lemmy.world
      5·
      9 days ago

      Happens every few years. I can’t tell you his hard I would eyeroll at conferences when some loser would ask a question about "what if you put blockchain in it *smugface. *

      Motherfucker, what would blockchain do in this scenario?

    • moldy_rice@piefed.keyboardvagabond.comEnglish
      41·
      9 days ago

      has enough money in the bank that they can run at huge losses for the next 100 years

      They’re not dumb. They’re just throwing spaghetti at the wall and don’t have to worry when 90% of it doesn’t stick