DeepMind's Strategic Cutback Reflects Alphabet's Stock Struggles
Portfolio Pulse from Anusuya Lahiri
DeepMind Technologies, an AI research entity under Alphabet Inc, has reported a 39% reduction in employee-related expenses, coinciding with Alphabet's struggle with declining stock value. The cost-cutting measures included closing its research lab in Edmonton, Canada. Despite a 21% dip in revenue, Google has reaffirmed its commitment to back DeepMind financially for at least another year.
October 11, 2023 | 4:49 pm
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Alphabet's subsidiary DeepMind has cut costs significantly, which may be a response to Alphabet's stock struggles. Despite a dip in DeepMind's revenue, Alphabet has committed to financially support the company.
DeepMind's cost-cutting measures, including a significant reduction in employee-related expenses, coincide with Alphabet's stock struggles. This suggests that Alphabet's financial performance may be influencing DeepMind's strategies. Despite a dip in DeepMind's revenue, Alphabet has committed to financially support the company, indicating its strategic importance to Alphabet.
CONFIDENCE 90
IMPORTANCE 75
RELEVANCE 100
NEGATIVE IMPACT
Alphabet's subsidiary DeepMind has cut costs significantly, which may be a response to Alphabet's stock struggles. Despite a dip in DeepMind's revenue, Alphabet has committed to financially support the company.
DeepMind's cost-cutting measures, including a significant reduction in employee-related expenses, coincide with Alphabet's stock struggles. This suggests that Alphabet's financial performance may be influencing DeepMind's strategies. Despite a dip in DeepMind's revenue, Alphabet has committed to financially support the company, indicating its strategic importance to Alphabet.
CONFIDENCE 90
IMPORTANCE 75
RELEVANCE 100