Jemy Finance Market Research Team At Jemy Trade
August 24, 2025
Alphabet Inc. (NASDAQ:GOOGL), the American multinational technology conglomerate and parent company of internet giant Google, is positioned as a key player in the artificial intelligence race. However, a recent analysis from Bernstein SocGen Group raises questions about the company’s path to dominance, drawing parallels between the current AI landscape and the competitive “platform wars” of the early 2010s.
According to Bernstein analyst Mark Shmulik, who reiterated a Market Perform rating on the stock with a $185.00 price target, the key to winning the next major platform is not simply attracting users, but convincing developers to build on your platform. This insight is rooted in the firm’s experience observing the rise of the mobile ecosystem. As an example, a large global telecom operator, confident in its hundreds of millions of users, attempted to launch its own app store. The firm notes, “By 2013, Android + iOS surpassed a billion users and never looked back. Google and Apple knew that winning over developers meant winning the next platform.”
With this historical context, Bernstein wonders what Alphabet will be showcasing to its developers at its annual I/O event to ensure it wins the AI race. The success of its AI platform may depend on its ability to replicate its developer-first strategy from the mobile era.
While Alphabet is acknowledged as a “Must-Watch AI Stock,” the provided analysis suggests that other AI companies may offer greater upside potential with less downside risk. This is based on the idea that while GOOGL’s potential is clear, some niche players could stand to benefit more significantly from market trends like onshoring and new regulations.
