How much market value did Alphabet lose?

Alphabet lost approximately $200 billion in market capitalization due to the decline.

What is Gemini 3.5 Pro?

It is Google's most powerful AI model under development, expected to compete with advanced models from OpenAI and Meta.

Were other companies affected by this report?

Yes, Meta Platforms (META) shares fell 1.2% in after-hours trading, despite no direct negative news.

Alphabet Stock Plunges 4% on Report of Gemini AI Delays

Alphabet (GOOGL) shares closed down 4.4% on Thursday, erasing $200 billion in market capitalization, following a Bloomberg report that Google is months behind schedule on delivering its flagship Gemini 3.5 Pro AI model.

July 16, 2026

2 min read

Source: Investing.com

Key Numbers

stock decline

4.4%

market cap loss

$200 billion

Alphabet (GOOGL) Shares Tumble Over 4% on Gemini Delay Report

Alphabet Inc. (NASDAQ:GOOGL) shares closed down 4.4% on Thursday, wiping out $200 billion in market value, after a Bloomberg report indicated that Google is months behind schedule in delivering Gemini 3.5 Pro, its most advanced AI model.

Reasons Behind the Move

The Bloomberg report highlighted significant delays in the development of Gemini 3.5 Pro, potentially giving rivals like OpenAI and Meta Platforms (NASDAQ:META) an opportunity to widen the gap in the AI race.

Context of Performance

The decline comes after a strong run for Alphabet's stock over the past year, which had risen over 30% fueled by optimism around its AI capabilities. However, any delay in launching cutting-edge models could raise investor concerns about the company's ability to maintain its technological lead.

Similar Moves in the Sector

Alphabet was not alone in feeling the impact, as other major tech stocks have experienced similar volatility when reports of AI product delays emerge. For instance, Meta Platforms (NASDAQ:META) shares fell 1.2% in after-hours trading on Thursday, despite no direct negative news.

Frequently Asked Questions

The stock dropped after a Bloomberg report indicated that Google is months behind schedule in delivering its flagship Gemini 3.5 Pro AI model.

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This article was rewritten in Wrqti's editorial style based on information from the original source above. Content is informational only — not investment advice.