• Home
  • Latest
  • Fortune 500
  • Finance
  • Tech
  • Leadership
  • Lifestyle
  • Rankings
  • Multimedia
TechAI

A robot’s $100 billion error: Alphabet shares tank after its ChatGPT rival makes a mistake in its very first ad

By
Tristan Bove
Tristan Bove
Contributing Reporter
Down Arrow Button Icon
By
Tristan Bove
Tristan Bove
Contributing Reporter
Down Arrow Button Icon
February 8, 2023, 3:42 PM ET
Google and Alphabet CEO Sundar Pichai
Google and Alphabet CEO Sundar PichaiMateusz Wlodarczyk—NurPhoto/Getty Images

The artificial intelligence wars are heating up, with tech companies large and small racing to outdo one another and get their A.I.-powered product to market. But the mistakes by the nascent technology are starting to pile up, and Google’s up-and-coming A.I.-powered chatbot has already cost the company $100 billion in market value.

OpenAI has a head start in the fight with its ChatGPT chatbot launched in November that uses A.I. to generate humanlike text. ChatGPT’s wide range of uses, status as the fastest-growing consumer app in history, and potential to disrupt internet searches has pushed rivals to throw out the slow and cautious strategy that has dominated A.I. research for years.

Microsoft, Google, and Chinese search giant Baidu are all moving fast on their A.I. products. Google is arguably the furthest along among the established companies, premiering its own A.I.-powered chatbot for testers on Monday. Google’s chatbot, Bard, is powered by LaMDA, the company’s own A.I.-fueled language learning model that is similar to the technology behind ChatGPT. 

Sundar Pichai, CEO of Google’s parent company, Alphabet, wrote that technologies like LaMDA will eventually be integrated with Google’s search engine.

Bard will be released to the general public in a few weeks, Pichai wrote Monday, and it may be a good idea for Google to spend more time perfecting it before that happens. Pichai’s blog post featured a promotional video to exhibit Bard’s capabilities. In it, users asked Bard for help with day-to-day activities, including recipe ideas and how to plan a baby shower, as well as more technical questions like how to explain to a 9-year-old what the James Webb Space Telescope has discovered. 

But Bard underwhelmed audiences with inaccurate responses, including to the James Webb query. In that case, it responded that the telescope took the “very first pictures of a planet outside of our own solar system.” 

But the very first image of an exoplanet was captured by the Very Large Telescope, a ground-based array in Chile, in 2004 and confirmed as an exoplanet in 2005, according to NASA—long before James Webb’s 2021 launch. James Webb, however, is being used to identify and catalog exoplanets.

Reuters was first to report on Bard’s mistake, and Google’s shares took a hit as a result. Google shares fell nearly 8% on Wednesday afternoon in midday trading, to around $99 a share, down from $108 at market close Tuesday. Its market cap Wednesday was $1.27 trillion, down from $1.35 trillion last week. The error was discovered just before Google hosted an event in Paris to display more of Bard’s capabilities.

Bard’s error underscores “the importance of a rigorous testing process, something that we’re kicking off this week with our Trusted Tester program,” a Google spokesperson told Fortune, adding that the company is incorporating feedback to ensure Bard’s responses meet “a high bar for quality, safety, and groundedness in real-world information” before its wider public release.

To be sure, Bard is far from the only chatbot to be inaccurate. ChatGPT has succumbed to racial and gender biases in certain scenarios while also providing incorrect or confused information when asked about niche topics.

Update, Feb. 8, 2023: This article was updated with a comment from Google.

Learn how to navigate and strengthen trust in your business with The Trust Factor, a weekly newsletter examining what leaders need to succeed. Sign up here.
About the Author
By Tristan BoveContributing Reporter
LinkedIn iconTwitter icon
See full bioRight Arrow Button Icon

Latest in Tech

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025

Most Popular

Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Finance
Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam
By Fortune Editors
October 20, 2025
Fortune Secondary Logo
Rankings
  • 100 Best Companies
  • Fortune 500
  • Global 500
  • Fortune 500 Europe
  • Most Powerful Women
  • Future 50
  • World’s Most Admired Companies
  • See All Rankings
Sections
  • Finance
  • Fortune Crypto
  • Features
  • Leadership
  • Health
  • Commentary
  • Success
  • Retail
  • Mpw
  • Tech
  • Lifestyle
  • CEO Initiative
  • Asia
  • Politics
  • Conferences
  • Europe
  • Newsletters
  • Personal Finance
  • Environment
  • Magazine
  • Education
Customer Support
  • Frequently Asked Questions
  • Customer Service Portal
  • Privacy Policy
  • Terms Of Use
  • Single Issues For Purchase
  • International Print
Commercial Services
  • Advertising
  • Fortune Brand Studio
  • Fortune Analytics
  • Fortune Conferences
  • Business Development
About Us
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map
Fortune Secondary Logo
  • About Us
  • Editorial Calendar
  • Press Center
  • Work At Fortune
  • Diversity And Inclusion
  • Terms And Conditions
  • Site Map
  • Facebook icon
  • Twitter icon
  • LinkedIn icon
  • Instagram icon
  • Pinterest icon

Latest in Tech

PoliticsColleges and Universities
Pentagon chief blocks officers from Ivy League schools and other top universities, including partners on AI and space
By Jason MaFebruary 28, 2026
3 minutes ago
AIAnthropic
Anthropic CEO Dario Amodei says ‘we are patriotic Americans’ committed to defending the U.S. but won’t budge on ‘red lines’
By Jason MaFebruary 28, 2026
5 hours ago
sarandos
InvestingMedia
3 things we will never know after Netflix pulled out of the Warner Bros. bidding, handing it to Paramount
By Nick LichtenbergFebruary 28, 2026
8 hours ago
OpenAI CEO Sam Altman
AIAnthropic
OpenAI sweeps in to ink deal with Pentagon as Anthropic is designated a ‘supply chain risk’—an unprecedented action likely to crimp its growth
By Jeremy KahnFebruary 28, 2026
8 hours ago
Big TechAmerican Politics
Your spend as a ‘weapon’: Scott Galloway’s ‘Resist and Unsubscribe’ movement asks you to ditch Amazon, Apple, and Netflix to oppose Trump
By Kristin StollerFebruary 28, 2026
12 hours ago
world's fair
CommentaryRobots
Something big is happening in AI, but panic is the wrong reaction
By Peter CappelliFebruary 28, 2026
13 hours ago

Most Popular

placeholder alt text
Success
Japanese companies are paying older workers to sit by a window and do nothing—while Western CEOs demand super-AI productivity just to keep your job
By Orianna Rosa RoyleFebruary 27, 2026
1 day ago
placeholder alt text
Success
Walmart exec says U.S. workforces needs to take inspiration from China where ‘5 year-olds are learning DeepSeek’
By Preston ForeFebruary 27, 2026
2 days ago
placeholder alt text
AI
The week the AI scare turned real and America realized maybe it isn't ready for what's coming
By Nick LichtenbergFebruary 28, 2026
14 hours ago
placeholder alt text
Middle East
Iran is now on 'death ground' amid existential threat from U.S. attacks and could 'go big' in retaliation, former NATO commander warns
By Jason MaFebruary 28, 2026
6 hours ago
placeholder alt text
Personal Finance
Current price of gold as of February 27, 2026
By Danny BakstFebruary 27, 2026
1 day ago
placeholder alt text
Law
China's government intervenes to show Michigan scientists were carrying worms, not biological materials
By Ed White and The Associated PressFebruary 26, 2026
2 days ago

© 2026 Fortune Media IP Limited. All Rights Reserved. Use of this site constitutes acceptance of our Terms of Use and Privacy Policy | CA Notice at Collection and Privacy Notice | Do Not Sell/Share My Personal Information
FORTUNE is a trademark of Fortune Media IP Limited, registered in the U.S. and other countries. FORTUNE may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.