Google is reportedly shifting its focus from “progressive” projects to core products such as search engine and artificial intelligence (AI) businesses. This change has come amidst shrinking budgets and increasing rumors about AI, according to a report by Bloomberg. Google’s special projects lab, called Waymo, has seen its budget reduced in recent years, with more attention being paid to ensuring each project has a business plan.
The shift in focus at Google is attributed to the launch of OpenAI’s ChatGPT, which highlighted the company’s lag in generative AI and the potential threat to its core search engine advertising business. As a result, Google executives have intensified their focus on the core business and artificial intelligence. With this change, Google’s X operation is now less “core.”
This change at Google is part of a larger trend among tech giants, with Apple cancelling its autonomous car project and Facebook reducing hardware efforts. The tech industry is seeing innovation happening in a more focused manner among big tech companies.
During Alphabet’s April earnings conference call, CEO Sundar Pichai emphasized the importance of AI, detailing six main areas where the company is improving its AI capabilities and integrating them into its products and services. Pichai mentioned the company’s advanced Gemini AI models and the positive momentum they are experiencing across the company.
Overall, Google’s shift in focus reflects a broader trend among tech giants towards prioritizing core products and artificial intelligence technologies. This strategic move is driven by the need to stay competitive in a rapidly evolving tech landscape and ensure continued innovation in key areas of their business.
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https://www.pymnts.com/google/2024/google-shifts-focus-from-moonshots-to-core-products/