Alphabet shares rise 2.8% after news of new energy‑efficient AI chip

Alphabet’s shares jumped 2.8% to above $356 on Monday, reversing a 6.5% drop over the prior two sessions and adding roughly $15 billion to the combined net worth of cofounders Larry Page and Sergey Brin. The rally followed a Forbes report that Google’s parent is developing an internal AI chip, code‑named "Frozen v2," which is said to be up to ten times more energy‑efficient than its predecessor and will run Google’s Gemini AI models more efficiently.

The share price lift added about $8 billion to Page’s fortune, bringing his net worth to $288.4 billion and making him the world’s second‑richest person behind Elon Musk. Brin’s wealth rose by $7.4 billion to $266 billion, placing him third globally. Alphabet is set to report Q2 earnings after the market close on Wednesday, with analysts forecasting revenue of $117.1 billion and earnings per share of $2.90—year‑on‑year jumps of 21% and 25%. Google Cloud revenue is projected to hit $22.4 billion, a 65% yearly rise, while quarterly capital spending is expected to reach $45 billion, up 26% from the prior quarter.

Meanwhile, Alphabet faces fresh regulatory pressure in Europe. Earlier this month the European Commission ordered Google to open 11 Android OS features to rivals, including OpenAI, and to share search data used to improve its services, part of the EU’s Digital Markets Act aimed at curbing Google’s dominance. Google has opposed the order, arguing it could weaken privacy and security safeguards for European users.

Given the chip’s promised energy efficiency and the upcoming earnings report, will investors view the AI chip as a durable competitive edge that justifies further capital spending, or will European regulatory headwinds temper enthusiasm for Alphabet’s AI ambitions?

SOURCE: https://nairametrics.com/2026/07/21/alphabet-jumps-2-8-adds-15-billion-to-google-founders-wealth/