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Home Technology

Google CEO talks up AI on earnings call as ChatGPT competition mounts

INBV News by INBV News
February 3, 2023
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Google CEO talks up AI on earnings call as ChatGPT competition mounts
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Alphabet CEO Sundar Pichai gestures during a session on the World Economic Forum (WEF) annual meeting in Davos, on January 22, 2020.

Fabrice COFFRINI | AFP | Getty Images

Alphabet and Google CEO Sundar Pichai said Thursday that the corporate will soon add advanced AI features to its search engine.

On Tuesday, CNBC reported that Google is testing a few of these features with employees as a part of a “code red” plan to answer ChatGPT, the favored chatbot backed partially by Microsoft. They include a chatbot called “Apprentice Bard,” in addition to recent search desktop designs that could possibly be utilized in a question-and-answer format. 

“Very soon, people will have the ability to interact directly with our newest, strongest language model as a companion to Search, in experimental and progressive ways,” he said, referring to Google’s conversation technology LaMDA, or Language Model for Dialogue Applications.

Pichai said that it should release the big language model “in the approaching weeks and months” so the corporate can get more feedback.

Executives regularly returned to the topic of artificial intelligence on the corporate’s fourth-quarter earnings call. “AI is probably the most profound technology we’re working on today,” Pichai said in his opening remarks.

The hassle to direct attention to AI comes as the corporate faces pressure on its core promoting business and a competitive threat from certainly one of its historic archrivals.

Thursday’s earnings report marked the fourth consecutive quarter during which the corporate missed Wall Street’s expectations for each earnings and revenue, based on expectation estimates provided by Refinitiv. Weakness within the promoting business appeared in an 8% revenue decline in YouTube’s promoting revenue and a 2% fall in Google’s Search and Other revenue.

Google can also be facing pressure from ChatGPT, which was launched late last yr by Microsoft-backed OpenAI. Google’s prime business is web search, and the corporate has long touted itself as a pioneer in AI. But generative AI products like ChatGPT could pose a threat to all the model of web search, as they’ll provide creative answers to more complicated queries.

Microsoft is reportedly considering adding ChatGPT functionality into its own search engine, Bing. The specter of falling behind in AI has even reportedly spurred Google co-founders Larry Page and Sergey Brin to take a direct interest within the efforts years after they stepped down from day-to-day work at the corporate in 2019.

Along with touting forthcoming search improvements, the corporate also said that starting in the primary quarter, it should change the financial reporting structure for its DeepMind artificial intelligence segment so it rolls as much as Google, as an alternative of the Other Bets segment that features long-payoff projects like self-driving cars and enterprise capital investments.

Google acquired the London-based company in 2014 for greater than $500 million after which placed it under the Other Bets umbrella when the corporate reorganized as Alphabet in 2015. DeepMind turned a profit for the primary time in 2021.

This reporting change “reflects the strategic focus in DeepMind to support each certainly one of our segments,” Alphabet’s finance chief Ruth Porat said on Thursday’s earnings call.

“To be very clear, we consolidate Other Bets into Google only when that bet supports services and products inside Google or Alphabet broadly,” Porat added, pointing to cybersecurity company Chronicle, which it rolled into Google’s cloud unit in 2019. “That was very effective.”

Pichai also said the corporate can even provide “recent tools” and APIs for developers, creators and partners to “empower them to find recent possibilities with AI. He added, “these models are particularly amazing for composing, constructing and summarizing.”

But Pichai also warned that it should have to scale slowly, saying he views large language usage as still being in “early days.”

CNBC previously reported that employees had asked in regards to the threat from ChatGPT in an internal meeting, and Google’s Jeff Dean told employees that Google has rather more “reputational risk” in providing incorrect information, and thus was moving “more conservatively than a small startup.”

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