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Sergey Brin, president of Alphabet and co-founder of Google

David Paul Morris | Bloomberg | Getty Images

Google co-founder Sergey Brin, in a rare public appearance over the weekend, told a group of artificial intelligence enthusiasts that he came out of retirement “because the trajectory of AI is so exciting.”

Brin, 50, spoke to entrepreneurs on Saturday at the “AGI House” in Hillsborough, California, just south of San Francisco, where developers and founders were testing Google’s Gemini model. AGI stands for artificial general intelligence and refers to a form of AI that can complete tasks to the same level, or a step above, humans.

In taking questions from the crowd, Brin discussed AI’s impact on search and how Google can maintain its leadership position in its core market as AI continues to grow. He also commented on the flawed launch last month of Google’s image generator, which the company pulled after users discovered historical inaccuracies and questionable responses.

“We definitely messed up on the image generation,” Brin said on Saturday. “I think it was mostly due to just not thorough testing. It definitely, for good reasons, upset a lot of people.”

Google said last week that it plans to relaunch the image generation feature soon.

Brin co-founded Google with Larry Page in 1998, but stepped down as president of Alphabet in 2019. He remains a board member and a principal shareholder, with a stake in the company worth about $100 billion. He’s returned to work at the company as part of an effort to help ramp up Google’s position in the hypercompetitive AI market.

In some cases on Saturday, Brin said he was giving “personal” answers, as opposed to representing the company.

Google's jumbled AI rollout

“Seeing what these models can do year after year is astonishing,” he said at the event, a recording of which was viewed by CNBC.

Regarding the recent challenges with Gemini that led to flawed image results, Brin said the company isn’t quite sure why responses have a leftward tilt, in the political sense.

“We haven’t fully understood why it leans left in many cases” but “that’s not our intention,” he said. The company has recently made accuracy improvements by as much as 80% on certain internal tests, Brin added.

Brin’s comments represent the first time a company executive has spoken on the Gemini matter in a live setting. The company previously sent prepared statements from Prabhakar RaghavanGoogle’s head of search, and CEO Sundar Pichai in response to the controversial rollout.

Here’s what Raghavan said in a blog post on Feb. 23:

“So what went wrong? In short, two things. First, our tuning to ensure that Gemini showed a range of people failed to account for cases that should clearly not show a range. And second, over time, the model became way more cautious than we intended and refused to answer certain prompts entirely — wrongly interpreting some very anodyne prompts as sensitive. These two things led the model to overcompensate in some cases, and be over-conservative in others, leading to images that were embarrassing and wrong.”

Google declined to comment for this story. Brin didn’t immediately respond to a request for comment. 

‘Some pretty weird things’

Brin said Google is far from alone in its struggles to produce accurate results with AI. He cited OpenAI’s ChatGPT and Elon Musk’s Grok services as AI tools that, “say some pretty weird things that are out there that definitely feel far left, for example.”

Hallucinations, or false responses to a user’s prompt, are still “a big problem right now,” he said. “No question about it.”

“We have made them hallucinate less and less over time, but I’d definitely be excited to see a breakthrough that’s near-zero,” Brin said. “But you can’t just like — count on breakthroughs so I think we’re just going to keep doing the incremental things we do to bring it down, down, down over time.”

When asked by an attendee if he wants to build AGI, Brin answered in the affirmative, citing the ability for AI to help with “reasoning.”

Brin was also asked how online advertising will be disrupted considering ad revenue is core to Google’s business. The company has reported slowing ad growth in the last few years.

Sergey Brin, Google Inc. co-founder, left, Larry Page, Google Inc. co-founder, center, and Eric Schmidt, Google Inc. chairman and chief executive officer, attend a news conference inside the Sun Valley Inn at the 28th annual Allen & Co. Media and Technology Conference in Sun Valley, Idaho, U.S., on Thursday, July 8, 2010.

Bloomberg | Bloomberg | Getty Images

“I of all people am not too terribly concerned about business model shifts,” Brin said. “I think it’s wonderful that we’ve been now for 25 years, or whatever, able to give just world class information search for free to everyone and that’s supported by advertising, which in my mind is great for the world.”

He did acknowledge that the business is likely to change.

“I expect business models are going to evolve over time,” he said. “And maybe it will still be advertising because advertising could work better, the AI is able to better tailor it.”

Brin is confident in Google’s position.

“I personally feel as long as there’s huge value being generated, we’ll figure out the business models,” he said.

Beyond AI, Brin was asked about Google’s difficulties in hardware given recent advancements in virtual reality. Google was notoriously early to the augmented reality market with the now-defunct Google Glass.

“I feel like I made some bad decisions,” he said, referring to Google Glass. If he were doing it differently, Brin said, he would have the treated Google Glass as a prototype instead of a product. “But, I’m still a fan of the lightweight” form, he said.

In regards to the Apple Vision Pro and Meta’s Quest headsets, Brin said, “They’re very impressive.”

When asked about how he sees Gemini impacting spatial computing or products like Google Maps or Street view, Brin responded with as much curiosity as anything.

“To be honest, I haven’t thought about it, but now that you say it, yeah there’s no reason we couldn’t put in more 3D data,” Brin said, to laughs from the crowd. “Maybe somebody’s doing it at Gemini — I don’t know.”

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Tesla’s stock erases loss for the year, soaring 85% from April low

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Tesla's stock erases loss for the year, soaring 85% from April low

Tesla CEO Elon Musk attends the Saudi-U.S. Investment Forum, in Riyadh, Saudi Arabia, May 13, 2025.

Hamad I Mohammed | Reuters

Tesla’s shares have finally turned positive for the year.

After a dismal first quarter, which was the worst for the stock in any period since 2022, and a brutal start to April, following President Donald Trump’s announcement of sweeping new tariffs, Wall Street has again rallied around the electric vehicle maker.

The stock rose 3.6% on Monday to $410.26, topping its closing price of 2024 by over $6. It’s up 85% since bottoming for the year at $221.86 on April 4. A new filing revealed that CEO Elon Musk purchased about $1 billion worth of shares in the company through his family foundation.

It’s the second straight year Tesla has bounced back after a down first quarter. Last year, the shares fell 29% in the first three months before ending up 63% for 2024.

In recent weeks, analysts have praised the EV maker’s proposed pay plan for Musk, which could amount to a $1 trillion windfall for the world’s richest person over the next decade. The company has also gotten a boost from its new MegaBlocks battery energy storage systems that Tesla ships preassembled to businesses looking to lower their power costs or make greater use of electricity from renewable resources.

Even with the rebound, Tesla is the second-worst performer this year among tech’s megacaps, ahead of only Apple, which is down about 5% in 2025. Tesla is still in the midst of a multi-quarter sales slump due to an aging lineup of EVs and increased competition from lower-cost competitors in China, namely BYD.

Tesla has seen a consumer backlash, in part because of Musk’s political activities, including spending nearly $300 million to propel President Trump back to the White House and his work with the Trump administration to slash the federal workforce.

Tesla leadership has been working to shift investors’ attention to other topics such as robotaxis and humanoid robots.

However, the company has yet to deliver vehicles that are safe to use without a human onboard and ready to take control if needed. And while Musk is touting Tesla’s Optimus robots, which he says will be able to do everything from factory work to babysitting, a product is still a long way from hitting the market.

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Alphabet becomes fourth company to reach $3 trillion market cap

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Alphabet becomes fourth company to reach  trillion market cap

Google CEO Sundar Pichai gestures to the crowd during Google’s annual I/O developers conference in Mountain View, California on May 20, 2025.

Camille Cohen | Afp | Getty Images

Alphabet has joined the $3 trillion club.

Shares of the search giant jumped more than 4% on Monday, pushing the company into territory occupied only by Nvidia, Microsoft and Apple.

The stock got a big lift in early September from an antitrust ruling by a judge, whose penalties came in lighter than shareholders feared. The U.S. Department of Justice wanted Google to be forced to divest its Chrome browser, and last year a district court ruled that the company held an illegal monopoly in search and related advertising.

But Judge Amit Mehta decided against the most severe consequences proposed by the DOJ, which sent shares soaring to a record. After the big rally, President Donald Trump congratulated the company and called it “a very good day.”

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Alphabet shares are now up more than 30% this year, compared to the 15% gain for the Nasdaq.

The $3 trillion milestone comes roughly 20 years after Google’s IPO and a little more than 10 years after the creation of Alphabet as a holding company, with Google its prime subsidiary.

CEO Sundar Pichai was named CEO of Alphabet in 2019, replacing co-founder Larry Page. Pichai’s latest challenge has been the surge of new competition due to the rise of artificial intelligence, which the company has had to manage through while also fending off an aggressive set of regulators in the U.S. and Europe.

The rise of Perplexity and OpenAI ended up helping Google land the recent favorable antitrust ruling. The company’s hopes of becoming a major AI player largely ride with Gemini, Google’s flagship suite of AI models.

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Bessent: TikTok deal ‘framework’ reached with China, Trump and Xi will finalize it Friday

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Bessent: TikTok deal 'framework' reached with China, Trump and Xi will finalize it Friday

Samuel Boivin | Nurphoto | Getty Images

The U.S. and China have reached a ‘framework’ deal for social media platform TikTok, Treasury Secretary Scott Bessent said Monday.

“It’s between two private parties, but the commercial terms have been agreed upon,” he said from U.S.-China talks in Madrid.

Both President Donald Trump and Chinese President Xi Jinping will meet Friday to discuss the terms. Trump also said in a Truth Social post Monday that a deal was reached “on a ‘certain’ company that young people in our Country very much wanted to save.”

Bessent indicated that the framework could pivot the platform to U.S.-controlled ownership.

TikTok did not immediately respond to a request for comment.

The comments came during the latest round of trade discussions between the U.S. and China. Relations have soured between the two countries in recent months from Trump’s tariffs and other trade restrictions.

At the same time, TikTok parent company ByteDance faces a Sept. 17 deadline to divest the platform’s U.S. business or face being shut down in the country.

U.S. Trade Representative Jamieson Greer said Monday that the deadline may need to be pushed back to get the deal signed, but there won’t be ongoing extensions.

Read more CNBC tech news

Congress passed a law last year prohibiting app store operators like Apple and Google from distributing TikTok in the U.S. due to its “foreign adversary-controlled application” status.

But Trump postponed the shutdown in January, signing an executive order in January that gave ByteDance 75 more days to make a deal. Further extensions came by way of executive orders in April and in June.

Commerce Secretary Howard Lutnick said in July that TikTok would shutter for Americans if China doesn’t give the U.S. more autonomy over the popular short-form video app.

As for who controls the platform, Trump told Fox News in June that he had a group of “very wealthy people” ready to buy the app and could reveal their identities in two weeks. The reveal never came.

He has previously said he’d be open to Oracle Chairman Larry Ellison or Tesla CEO Elon Musk buying TikTok in the U.S. Artificial intelligence startup Perplexity has submitted a bid for an acquisition, as has businessman Frank McCourt’s Project Liberty internet advocacy group, CNBC reported in January.

Trump told CNBC in an interview last year that he believed the platform was a national security threat, although the White House started a TikTok account in August.

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