Alphabet Investors Sue Over Delayed AI Model Launch
Glancy Prongay Wolke & Rotter LLP has filed a class action lawsuit in the United States District Court for the Northern District of California on behalf of Alphabet Inc. investors who purchased or acquired securities between May 19, 2026 and July 16, 2026.
The lawsuit alleges that throughout this period, defendants made materially false and/or misleading statements about the Company's business, operations, and prospects.
Specifically, it is alleged that defendants failed to disclose that the Gemini 3.5 Pro AI model was delivering disappointing training results, which would lead to a significant delay in its launch.
On July 16, 2026, after the news broke, Alphabet's Class A common stock price fell $16.46, or 4.4%, to close at $354.46 per share on unusually heavy trading volume.