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The article argues that Google’s $500 billion loss in market value reflects a predicament caused by Alphabet’s bet on artificial intelligence, which could weaken its search engine and the company’s main source of advertising revenue. Integrating search with Gemini has raised investor concerns about declining revenue, while AI has yet to deliver returns despite its multibillion-dollar costs. The article warns that competitors—including Meta, Anthropic, and OpenAI—could capture a share of the advertising market, forcing websites, advertisers, and economies that have relied on Google to adapt to a digital transformation whose contours remain unclear.
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