{"id":805025,"date":"2026-07-17T00:27:11","date_gmt":"2026-07-17T00:27:11","guid":{"rendered":"https:\/\/www.newsbeep.com\/au\/805025\/"},"modified":"2026-07-17T00:27:11","modified_gmt":"2026-07-17T00:27:11","slug":"alphabet-shares-fall-on-report-its-gemini-3-5-pro-ai-model-is-delayed","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/au\/805025\/","title":{"rendered":"Alphabet shares fall on report its Gemini 3.5 Pro AI model is delayed"},"content":{"rendered":"<p><img decoding=\"async\" class=\"InlineVideo-videoThumbnail\" src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/07\/108336172-17842268631784226860-47203254207-1080pnbcnews.jpg\" alt=\"Google&#x2019;s next flagship Gemini model is reportedly months behind schedule\"\/><\/p>\n<p><a href=\"https:\/\/www.cnbc.com\/quotes\/GOOG\/\" rel=\"nofollow noopener\" target=\"_blank\">Alphabet<\/a> shares sank 4% on Thursday following a report that the company has delayed releasing its flagship <a href=\"https:\/\/www.cnbc.com\/ai-artificial-intelligence\/\" rel=\"nofollow noopener\" target=\"_blank\">artificial intelligence<\/a> model.<\/p>\n<p>The search giant&#8217;s Gemini 3.5 Pro AI model is months behind schedule due to the company&#8217;s efforts to improve its performance, according to <a href=\"https:\/\/www.bloomberg.com\/news\/articles\/2026-07-16\/google-gemini-launch-delayed-as-tech-falls-short-of-internal-goals\" target=\"_blank\" rel=\"nofollow noopener\">Bloomberg<\/a>, citing sources familiar with the matter. The model&#8217;s coding capabilities, in particular, were short of internal expectations and come at a time when rivals like <a href=\"https:\/\/www.cnbc.com\/quotes\/OPENAI.FG\/\" rel=\"nofollow noopener\" target=\"_blank\">OpenAI<\/a> and <a href=\"https:\/\/www.cnbc.com\/quotes\/META\/\" rel=\"nofollow noopener\" target=\"_blank\">Meta<\/a> have recently debuted new AI models that outpace Google&#8217;s current offerings in generating software code, the report said.<\/p>\n<p>The company previously announced the<a href=\"https:\/\/www.cnbc.com\/2026\/05\/19\/google-ai-ultra-gemini-spark-omni.html\" rel=\"nofollow noopener\" target=\"_blank\"> Gemini 3.5 Pro AI model<\/a> in May as part of the company&#8217;s annual Google I\/O developer conference, saying at the time that it was being used internally, but wouldn&#8217;t be ready for a broader rollout until the following month.<\/p>\n<p>An Alphabet spokesperson told CNBC in an emailed statement that the company is &#8220;shipping quickly across a wide range of models while keeping them highly cost-effective for customers.&#8221;<\/p>\n<p>&#8220;We&#8217;re currently testing 3.5 Pro, an upgraded Flash model, and other models with partners, and we&#8217;re productively engaged with the U.S. government,&#8221; the spokesperson said.<\/p>\n<p>Code-generation has become one of the biggest use cases for AI model providers like <a href=\"https:\/\/www.cnbc.com\/quotes\/ANTHR.FG\/\" rel=\"nofollow noopener\" target=\"_blank\">Anthropic<\/a> and OpenAI and Chinese AI labs like <a href=\"https:\/\/www.cnbc.com\/quotes\/2513-HK\/\" rel=\"nofollow noopener\" target=\"_blank\">Z.ai<\/a> that offer<a href=\"https:\/\/www.cnbc.com\/2026\/01\/26\/american-ai-coding-agents-are-impressive-but-so-are-chinas.html\" rel=\"nofollow noopener\" target=\"_blank\"> so-called open-weight variants<\/a> that developers can access for free via the open-source ecosystem.<\/p>\n<p>Meta debuted last week its<a href=\"https:\/\/www.cnbc.com\/2026\/07\/09\/meta-jumps-into-ai-coding-market-to-chase-anthropic-and-openai.html\" rel=\"nofollow noopener\" target=\"_blank\"> Muse Spark 1.1 AI model<\/a>, which the company&#8217;s AI chief Alexandr Wang described as the social media giant&#8217;s &#8220;strongest model for agentic and coding work yet.&#8221;<\/p>\n<p>OpenAI last week released its<a href=\"https:\/\/www.cnbc.com\/2026\/07\/08\/openai-expanding-gpt-5point6-ai-model-release-ending-government-limits.html\" rel=\"nofollow noopener\" target=\"_blank\"> GPT-5.6 Sol<\/a> AI model, which CEO <a href=\"https:\/\/www.cnbc.com\/sam-altman\/\" rel=\"nofollow noopener\" target=\"_blank\">Sam Altman<\/a> said is 54% more token efficient on<a href=\"https:\/\/www.cnbc.com\/2026\/07\/09\/open-ai-sam-altman-chatgpt-5-6-sol.html\" rel=\"nofollow noopener\" target=\"_blank\"> agentic coding tasks<\/a>, underscoring how AI labs are pitching their respective AI coding models as being cost-effective relative to their performance.<\/p>\n<p>Stock Chart IconStock chart icon<img decoding=\"async\" src=\"https:\/\/static-redesign.cnbcfm.com\/dist\/a54b41835a8b60db28c2.svg\" class=\"Collapsible-dismissButton\" alt=\"hide content\"\/><\/p>\n<p>Alphabet stock chart<\/p>\n<p><img decoding=\"async\" class=\"InlineVideo-videoThumbnail\" src=\"https:\/\/www.newsbeep.com\/au\/wp-content\/uploads\/2026\/07\/108327495-1782488128942-1782488024-46787670608-hd.jpg\" alt=\"Google is still a 'well-positioned' company, says Gabelli Funds' John Belton\"\/><a href=\"https:\/\/www.google.com\/preferences\/source?q=https:\/\/www.cnbc.com\/\" target=\"_blank\" rel=\"noopener noreferrer nofollow\">Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"Alphabet shares sank 4% on Thursday following a report that the company has delayed releasing its flagship artificial&hellip;\n","protected":false},"author":2,"featured_media":805026,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[20],"tags":[256,31076,46816,2729,254,255,64,63,4065,174,3120,237,212607,22050,203,366120,13961,12079,1314,105],"class_list":["post-805025","post","type-post","status-publish","format-standard","has-post-thumbnail","category-artificial-intelligence","tag-ai","tag-alphabet-class-a","tag-alphabet-class-c","tag-anthropic","tag-artificial-intelligence","tag-artificialintelligence","tag-au","tag-australia","tag-breaking-news-technology","tag-business-news","tag-elon-musk","tag-internet","tag-knowledge-atlas-technology-jsc-ltd","tag-meta-platforms-inc","tag-mobile","tag-openai-forge-global","tag-sam-altman","tag-satya-nadella","tag-social-media","tag-technology"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/805025","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=805025"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/805025\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/805026"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=805025"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=805025"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=805025"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}