00:00 Speaker A
As you mentioned, uh Gemini has been gaining some momentum lately as more and more people are using it. This is somewhat fragmenting the AI industry, right? In recent weeks, we’ve seen Alphabet’s stock price really take off. How do you currently see the arms race in artificial intelligence and who will win? Is this the way you should think about it from an investment perspective?
00:31 Speaker B
Yeah, no, I mean, certainly, when you think about the history of consumer internet, flywheels, network effects, whatever word you want to use, typically you end up in winner-take-all, or if not winner-take-all all types of scenarios. So, you know, Google is our favorite idea starting in 2025. I think, you know, we’ve been pleased and fortunate to see a gathering like this recently with the release of Gemini 3, uh, which is creating new capabilities and then obviously improvements to the AI overview, AI modes and the Gemini application itself. So I think as Google has that distribution, we continue to be bullish on their potential for, maybe not a winner-take-all, but probably a winner-take-all most type of scenario, uh, that’s where we are today. Obviously, even in the last few weeks, there’s been a lot of news coverage on this issue, if we can call it what Open AI might be pursuing, maybe there’s some course correction, it’s hard to know what exactly is going on there. Um, but we still feel like Google is positioned very, very well, uh, from a consumer perspective.
02:08 Speaker A
Well, I, I mean, Google won number one, which means it won search, right? You could say this is the sure winner that accounts for the vast majority of searches. So, at the same time, it also faces some challenges from a regulatory perspective. But do you think, well, what lessons can Google learn from this, or Alphabet can learn from this, to apply to this fight and encourage adoption?
02:51 Speaker B
Yeah, I mean, regulation is difficult. I think at this stage we’re still in the very, very early stages of adoption of these chatbot tools and you have to try to create the best product and the best situation for the user. Uh, let the pieces fall where they may. I think, you know, we tagged Google’s um yesterday, I believe the vice president of search said, look, we want to create a scenario, we want to create a user experience where you don’t have to search for different things in different places. We love statements like this. We think it’s very, very compelling from a user experience perspective that people may still use Google for facts and Chat GPT for other types of things. So, I think they’re focused on building the best product possible. Will it face regulatory pressure in the future? Absolutely. Uh, similar to the layout you just did with the search, but at this stage of the game, I think it’s too early to assume or or or discount that.
