Ben Gilbert

So of course, David, you change your whole product to be based on a new thing, right?

Yes, but here is the problem.

You haven't figured out how to make this new incredible product anywhere near as profitable as your old giant cash printing business.

So maybe you shouldn't launch that new product.

David, this sounds like quite the dilemma to me.

Of course, listeners, this is Google Today, and in perhaps the most classic textbook case of the innovator's dilemma ever.

The entire AI revolution that we are in right now is predicated by the invention of the Transformer,

out of the Google Brain team in 2017.

So think OpenAI and ChatGPT, Anthropic, NVIDIA hitting all-time highs.

All the craziness right now depends on that one research paper published by Google in 2017.

And consider this.

Not only did Google have the densest concentration of AI talent in the world 10 years ago that led to this breakthrough, but today they have just about the best collection of assets that you could possibly ask for.

They've got a top-tier AI model with Gemini.

They don't rely on some public cloud to host their model.

They have their own in Google Cloud that now does $50 billion in revenue.

That is real scale.

They're a chip company with their tensor processing units, or TPUs, which is the only real-scale deployment of AI chips in the world besides NVIDIA GPUs.

Maybe AMD, maybe, but these are definitely the top two.

Google still has a crazy bench of talent.

And despite ChatGPT becoming kind of the Kleenex of the era, Google does still own the text box, the single one that is the front door to the internet for the vast majority of people, anytime anyone has intent to do anything online.