Alphabet Just Introduced Its Newest AI Advantage, and It's Another Reason to Buy the Stock

Alphabet (NASDAQ: GOOGL) (NASDAQ: GOOG) has already proven itself to be one of the most innovative companies in the area of artificial intelligence (AI). The company has developed one of the best AI models with Gemini, and it's a clear leader in AI video generation and image generation with Veo3 and Nano Banana. In fact, OpenAI recently shut down its competing AI video-generating app Sora, essentially ceding the market to Alphabet. Image source: The Motley Fool.Meanwhile, the company is also at the forefront of custom AI chips with its tensor processing units (TPUs). It developed these chips with the help of Broadcom more than a decade ago, and it has built an entire hardware and software ecosystem around them that not only provides optimal performance but gives it a huge structural cost edge. With its TPUs, Alphabet can train Gemini and run inference at a much lower cost than competitors that largely rely on graphics processing units (GPUs) from Nvidia. This is just an enormous advantage that grows over time as more and more computing power is required for AI. Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool