Shares of Alphabet fell over 3% in early trading on Monday due to concerns that AI-powered rivals, including Microsoft’s Bing, could take market share from Google's core search engine.
Google employees reportedly panicked after learning that Samsung was considering making Bing the default search engine on its devices.
Google is developing a new AI-powered search engine called Project "Magi" to address competition from rivals, with an AI chat tool available to answer questions.
Google and Alphabet CEO Sundar Pichai stressed the need for companies to "be responsible in each step along the way" as they build and release AI tools.