Alphabet Investors Sue Over Misleading Statements About AI Model

Glancy Prongay Wolke & Rotter LLP (GPWR) 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 Alphabet's defendants made materially false and/or misleading statements about the company's business, operations, and prospects during this period.

Specifically, it claims that they failed to disclose that the Gemini 3.5 Pro AI model was delivering disappointing training results, which would delay its launch.

On July 16, 2026, 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.