Google Takes a Stake in Departing Researchers' New Venture

Google's high-profile departures of four top AI researchers have left the company reeling, with shares plummeting to a 4% loss. The four researchers, led by Jeff Dean who left after 27 years at Google, are starting a new venture called Discovery Loop. Alphabet's market cap dropped an astonishing $186 billion on August 5, down from $377.65 to $362.43.

Sundar Pichai, CEO of Alphabet, attempted to put a positive spin on the situation by saying that Google would continue to work with the researchers and even invest in their new venture as a founding partner. This is an unusual move, as companies typically do not fund their own brain drain.

The four researchers are highly respected in the field, and their departure has sparked concerns about the impact on AI development at Google. However, some experts argue that this may be a strategic move by Google to focus on infrastructure and data centers rather than research and development.