Alphabet Heads For a $500 Billion Drop In Market Value

Alphabet faced a market value drop of $524 billion, marking its steepest post-earnings decline since 2004. This second-largest one-day loss for a US-listed company followed Q3 results showing AI Mode generates less revenue than traditional search, although overall search revenue rose 12% to $63.25 billion. Wall Street investors are concerned about slowing search growth and soaring AI costs, questioning if the financial payoff is arriving quickly enough to justify the current expenditures and investment levels.