Alphabet share price crash on Wednesday shook the global tech market, wiping out nearly $150 billion in market value. This plunge came after reports emerged that Apple is developing its own AI-powered search features for Safari. With Apple moving closer to building alternatives to Google Search, investors are reassessing Alphabet’s long-term dominance. The stock closed 7.51% lower at $152.80—a sharp reminder of how vulnerable even the biggest tech giants can be in the AI race.
Apple’s AI Push: A Threat to Google’s Search Stronghold
In a striking development, Apple’s Eddy Cue testified that the company is “actively exploring” new AI-based search tools for its Safari browser. He noted a decline in Safari search volumes, possibly because users are relying more on AI assistants. This could significantly undercut Google’s dominance, especially as the tech giant reportedly pays Apple nearly $20 billion annually to stay Safari’s default search engine.
If Apple integrates its own AI search, it not only challenges Google’s advertising revenue but may also open the doors for regulatory scrutiny. Already, the U.S. Justice Department is seeking to prohibit deals like this in ongoing antitrust lawsuits. For Indian traders and investors, this move signals a possible shift in digital advertising revenues that could ripple through global markets, including Indian tech stocks.
Alphabet’s Stock Performance: A Mixed Bag for Long-Term Investors
While the Alphabet share price has nosedived recently, long-term investors still have reasons to stay hopeful. Despite falling 20% year-to-date and 12% over the past year, the stock has yielded an impressive 120% return over five years. Over the last month, it even posted a modest 2.4% gain before the crash.
However, this sharp drop serves as a wake-up call. Google must now innovate faster, especially with voice and visual search, to defend its market share. Indian retail traders closely following Nasdaq-linked ETFs or tech-heavy mutual funds should track Alphabet’s next steps closely.
What This Means for Indian Traders and Tech Enthusiasts
For Indian investors, this Alphabet share price crash presents a dual opportunity. Short-term traders can capitalise on volatility through derivatives or global tech ETFs. Long-term investors, however, should watch Google’s roadmap to stay ahead in AI innovation.
India’s own tech space is evolving, and developments in AI overseas often ripple into the strategies of Indian firms. The tussle between Google and Apple may well set the tone for how AI-based search reshapes the internet landscape globally.
Disclaimer: The views and investment insights provided here are based on publicly available information and do not constitute financial advice. Readers are advised to conduct their own research or consult certified financial experts before making investment decisions.
