A Factual Error by Bard AI Chatbot Just Cost Google $100 Billion

The stakes in the race for generative AI are rising. The fervor in the stock market bubbling around artificial intelligence spread this week to Microsoft Corp. and Alphabet Inc., which despite investing heavily in the technology had so far been ignored by traders in favor of smaller, more speculative companies. Google parent Alphabet's shares tumbled 7.7% on Wednesday after concerns surfaced about the competency of Bard, the ChatGPT rival it unveiled on Feb. 6. The selloff continued on Thursday with a drop of as much as 5.1%, on track for the worst two-day decline since March 2020. The rout has erased about $170 billion in market value.