Why Are Alphabet Shares Trading Lower Today?

Alphabet Inc. GOOG is facing a drop in its stock price Wednesday following reports indicating the U.S. Department of Justice (DOJ) is considering breaking up Google as a potential remedy for its monopolization of the search engine market.

Alphabet’s Shares Decline: The DOJ’s consideration of a breakup is seen as a response to a U.S. District Court ruling that found Google had engaged in monopolistic practices to maintain its dominance in the search engine industry. The potential breakup is one of the options being explored as a solution to the company’s antitrust violations.

This would mark a historic move, being the first attempt to dismantle a company for monopolization since the DOJ's unsuccessful bid against Microsoft.

T-Mobile's Strategic Moves: While Alphabet grapples with its legal challenges, T-Mobile is making strategic moves to capitalize on the launch of Google's latest devices. The company has introduced the new Google Pixel 9 series and Pixel Watch 3 with a range of exclusive offers designed to attract customers.

T-Mobile is offering $100 off the Pixel 9 Pro and $200 off the Pixel 9 Pro XL, with no trade-in or new line required. Additionally, the company is providing up to $1,000 off select Pixel models with trade-ins or new lines on its Go5G Plus/Next or Go5G Business Plus/Next plans. Customers who pre-order the Pixel 9 or Pixel 9 Pro XL will also receive double the storage at no extra cost.

Google Pixel 9 Series Launch: Google recently unveiled its Pixel 9 series, including the Pixel 9, Pixel 9 Pro, Pixel 9 Pro XL and Pixel 9 Pro Fold. These new models feature advanced AI capabilities, such as the Reimagine in Magic Editor, Pixel Screenshots and the Gemini Nano multimodal AI, which enhances accessibility and user experience.

However, the launch was not without its challenges. During a live demonstration at the “Made by Google” event, Google's AI assistant Gemini experienced two consecutive glitches, raising concerns about the reliability of the new features.

GOOG Price Action: Alphabet shares were down by 3.13% at $159.02 according to Benzinga Pro.

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