Google Stock Could Soar on AI Software
Once again, Alphabet Inc (NASDAQ:GOOGL) has exceeded all expectations. The company that used to trade as Google stock is once again revolutionizing the world with open source technology. The upside for Alphabet stock could be limitless.
Oddly enough, Alphabet’s latest feature is a result of the original search engine function. As end-users, we don’t really think about how Google improved its search engine; we just know it works well. However, there’s groundbreaking research that went into the improvements.
Google stock has appreciated through the years because Google had a mission: to organize the world’s information and make it searchable. But with so much information in the ether, it became difficult to sort the wheat from the chaff. Google needed to anticipate what people were truly searching for, so they broke into artificial intelligence (AI).
AI underlies almost all Google technology, from its voice recognition software to Google Translate. In fact, Google was primarily built on the back of the most sophisticated AI ever conceived. (Source: “Google Just Open Sourced TensorFlow, Its Artificial Intelligence Engine,” Wired, November 9, 2015.)
Now Google is making a lot of its AI open source, allowing everyone to build new products with advanced artificial intelligence techniques. The feature, called TensorFlow, could help drive Google stock through the roof.
Why Google Is Sharing Its Secrets
TensorFlow uses software code developed by Google. It mimics the functioning of the human brain, processing vast amounts of data to detect patterns. Once an AI-driven program is given a command, it will constantly improve its understanding of how best to execute the order. That’s the nature of smart computing.
Google is letting the cat out of the bag for an obvious motive: it will make them a lot of money. If companies could use Google’s AI to make their apps, programs, and products smarter and faster, then it opens a window to huge returns for Google stock.
After all, Google hasn’t opened the entire breadth of its toolkit to the world, which means they could charge a fee for premium access. A Google cloud service that specializes in AI-driven applications could (without exaggeration) revolutionize the Internet.
Then there’s the hardware side of things. Right now, the open source artificial intelligence can only be used on a single computer, which limits the user’s ability to scale up a project. But most AI projects require vast amounts of data that would run easier across a network.
It’s just another opportunity for Google stock rise on the back of a premium service.
Google Stock Will Continue to Rule the Internet
Don’t be mistaken about what I’m saying. Just because there are massive upsides for Google stock, it doesn’t mean that Google is doing anything sinister with artificial intelligence. There’s something quite noble about offering up its secrets to the world, but that’s always been Google’s modus operandi.
Even with the Android software, Google pushed the operating platform of smartphones forward while claiming very few profits in the short run. There is an unspoken culture at Google to angle humanity to its brightest future, even while making a profit.
The success of the company hinges on the continued growth of Google stock; there’s a symbiotic relationship there. In that sense, Google has hit the sweet spot with TensorFlow. Not only will it change the world, but it will also earn huge rewards for Google stock.