Carl Quintanilla (Anchor) 00:00.070
we do have some breaking news on google and for that we're going to go to deirdre bosa hey dee
Deirdre Bosa (Business News) 00:04.670
hey good morning carl so google just announcing its latest AI model called gemini three flash quote frontier intelligence built for speed at a fraction of the cost now it prioritizes speed and margins over model prestige and this is really another part of the AI race that is
Deirdre Bosa (Business News) 00:21.150
built for real use this is especially important for google where AI it's not just a stand alone product but it's AI has to run inside of search ads gmail docs etcetera and in the cloud at massive scale those businesses speed and cost that matters more than maximum deployment now
Deirdre Bosa (Business News) 00:40.150
we are seeing the same trade off globally particularly in china where good enough models enable broader access and real world adoption at scale google can run AI at both ends of the market because models and because it has the best models and the most practical one it owns the
Deirdre Bosa (Business News) 00:57.590
pipeline that's how it's able to do both of these now on the other side of alphabet meanwhile there's waymo the company is in talks to raise more than fifteen billion dollars at a valuation as high as a hundred and ten billion dollars more than double its last round its last
Deirdre Bosa (Business News) 01:10.950
valuation too according to a source familiar with the discussions now waymo continues to extend its lead in autonomous driving and our own general elias has reported that sundar pichai has said that waymo will meaningfully contribute to alphabet 's financials as soon as twenty
Deirdre Bosa (Business News) 01:25.790
twenty seven now alphabet is leading the round but like the last one outside investors they will get a chance to buy in and that gives google more our financial flexibility as way more expands without carrying you know the full cost on its own balance sheet and also keeps the
Deirdre Bosa (Business News) 01:43.390
option open for a future spin off guys
? (Anchor) 01:47.550
when you talk to alphabet analysts is it factored in into the company 's results or or outlook or valuation at all
Deirdre Bosa (Business News) 01:54.830
you mean sort of the value that waymo represents to be honest not really i mean we look at sort of this comparison between tesla right and the idea that so much expectation and if you look at the forward PE model model multiple for a tesla so much more is baked in and it really
Deirdre Bosa (Business News) 02:12.470
does feel like waymo is far less appreciated particularly when you consider that you know it's delivering four hundred and fifty thousand rides a week without any kind of safety driver so you know that gap between waymo and everyone else trying to do robotaxis is only widening
Deirdre Bosa (Business News) 02:29.390
and feels very underappreciated
Carl Quintanilla (Anchor) 02:31.150
it's interesting you've told viewers before about the number of miles log didn't they they're light years ahead of what tesla has been able to do there's a lot of scrutiny about the crashes among tesla robotaxis in austin but teslas at four ninety that's an all time high
Deirdre Bosa (Business News) 02:45.830
yeah absolutely and it's that promise right and you know the tesla bulls will say that tesla is more vertically integrated right they have the vehicle they have the software they have the ride sharing platform itself whereas google and waymo the alphabet subsidiary is sort of
Deirdre Bosa (Business News) 03:03.080
tapping into different vendors and ultimately some of what the tesla will say is that that's harder to scale yes that might be true in the future but right now we are seeing sort of incredible scale from way MO
Carl Quintanilla (Anchor) 03:14.270
OK deirdre thank you