Google's new Gemini AI model says the company has a 'virtual monopoly'
A CEO and a VC recently utilized Google's Gemini AI models for investment advice. Gemini identified Google parent Alphabet as a top 'Bottleneck Stock' due to Google's significant control over the online advertising market. The AI model highlighted Google's dominance in the online advertising space, recognizing its control over 90% of the global search market.
The Gemini AI models have the capability to hallucinate, as seen in a recent experiment by Dan Shipper, the CEO of Every Media, and his VC friend, Jesse Beyroutey. In their test, they fed company earnings call transcripts into the Gemini AI model and asked various questions about the businesses. The AI model provided insightful responses, including a detailed assessment of GoGo Inc.'s plans to upgrade its in-air Wi-Fi services.
An Eye-Opening Experiment
Shipper and Beyroutey aimed to receive a stock tip from the Gemini AI model by specifying certain company characteristics such as being in a valuable bottleneck in the value chain and having a highly scalable business model. In response, Gemini generated a list of stocks categorized as Shockproof Stocks, Bottleneck Stocks, and Scalable Stocks.
Interestingly, Google's parent company, Alphabet, was listed at the top as a recommended Bottleneck Stock.
Gemini emphasized Google's extensive reach in the online advertising realm, indicating its virtual monopoly over online advertising due to its dominance in the global search market. However, this assessment may not align with Google's preferences, especially amid ongoing legal challenges.
Legal Challenges and Transparency
The Department of Justice has filed a lawsuit against Google, alleging the illegal maintenance of a monopoly in the online search market. When questioned about the accuracy of the Gemini AI model's recommendations, Google acknowledged that while Gemini can sometimes provide inaccurate or misleading information, the company is continuously working to improve its performance.
As Gemini continues to evolve, its role in providing investment advice and market insights raises important questions about the influence of AI in decision-making processes and the potential implications for the financial industry.
For more information, you can read the full article on Business Insider.
