Alphabet's GOOGL enhances Google TV with AI features, aiming to deepen product adoption

From Nasdaq: 2025-01-08 11:42:00

Alphabet’s stock symbol GOOGL is enhancing its Google TV devices with AI features, aiming to attract new clients and deepen product adoption. The latest AI enhancements will allow users to interact more intuitively with Google TV, making media searching easier with contextual video results.

Alphabet is leveraging AI to improve its search and cloud businesses, with over 25% of new code generated by AI at Google. The integration of AI technology like Gen AI into the search engine is enhancing Google Search, improving user experience with features like AI Overview and Circle to Search, driving engagement and monetization efforts.

In the competitive cloud infrastructure market, Google Cloud is solidifying its position as the third-largest provider globally. Alphabet’s innovative AI infrastructure, offering various AI accelerator options and platforms like Vertex and BigQuery, is driving strong demand and growth in machine learning operations.

Alphabet’s stock is currently trading above the 50-day and 200-day moving averages, indicating a bullish trend. The Zacks Consensus Estimate for first-quarter fiscal 2025 revenues and earnings show steady year-over-year growth, with Alphabet consistently beating earnings estimates.

Alphabet’s growing GenAI capabilities present a potential catalyst for the future, but increasing regulatory scrutiny and competition in the cloud space pose challenges. Alphabet’s dominant position in search engines and the cloud sector remains a long-term driver, but regulatory risks and competition could impact its prospects. Currently rated as a Hold, Alphabet’s stock outlook suggests waiting for a more favorable entry point.



Read more at Nasdaq: GOOGL Adds AI Features to Google TV: To Buy or Not to Buy the Stock?