EL7.AI
StocksMediumUpdated×2•Originally published 16 July 2026•Updated 16 July 2026•
1 min read

Alphabet Shares Slip as Technical Gaps Delay Gemini 3.5 Pro Launch

Portrait of Sundar Pichai beside a futuristic craft labeled Gemini on a glowing platform against an orange backdrop.

Key Facts

1Alphabet's Google is reportedly delaying the release of its Gemini 3.5 Pro AI model by several months.
2The delay is attributed to the technology falling short of internal goals, particularly in coding capabilities.

Amid an intensifying race for generative AI dominance, Alphabet shares faced selling pressure following reports of a technical hurdle leading to the delay of its highly anticipated Gemini 3.5 Pro model. Reports from Reuters and Bloomberg indicate that the company decided to push back the release by several months after the technology fell short of internal benchmarks, particularly in complex coding capabilities. This move reflects Google's strategic priority to address performance gaps before facing global market competition.

The delay occurs as competition heats up with OpenAI's continuous GPT updates, while Big Tech peers strive to maintain investor confidence. Per market data, Microsoft (MSFT) closed at $401.595 and Meta (META) settled at $668.7901 on July 16, 2026. Analysts suggest that Google is under increasing pressure to prove its models' proficiency in specialized tasks like software development, a critical segment for developers and enterprise clients.

Traders are currently monitoring GOOGL, which closed at $371.3609, and GOOG at $370.6122 as of July 16, 2026, as the delay has dampened short-term stock momentum. With no immediate tech-sector catalysts in the upcoming economic calendar, focus remains on any official statements from Alphabet management regarding the revised launch timeline and performance improvements for the model.