Computing power crunch coupled with OpenAI competitor's advertising business expansion, Google falls about 2% in pre-market trading.

BlockBeats news, October 22 - According to BIT(bit.com) market data, Google (GOOGL) fell about 2% in pre-market trading.

On the news front, on October 21, OpenAI announced the expansion of ChatGPT Ads to 26 additional countries, bringing the total global coverage to 89 countries. It also revealed that

more than 100,000 advertisers have already run ads on the platform, and the advertising business had reached an annualized revenue run rate of $1 billion by August. The market views "OpenAI scaling up its advertising business" as a direct competitive threat to Google.

In addition, Google is grappling with computing power constraints, reallocating resources for AI research and development, with 2027 computing capacity difficult to lock in. Google CEO Sundar Pichai recently stated externally that Google is reallocating computing resources, channeling some computing capacity originally available for external cloud services into frontier AI technology research and development, willingly forgoing some short-term revenue from its cloud business to focus on advancing AI technology innovation. Customers currently seeking to lock in computing resources for 2027 will face significant challenges.