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Alphabet’s AI Strategy Gains Traction as Wall Street Lifts Targets and Product Rollouts Accelerate

Analysts see Alphabet turning AI scale into new cash flows.

Overview

  • Brokers raised or reaffirmed targets, including Wells Fargo at $397, Needham at $400 and Citizens at $385, citing strength in Google Cloud and AI.
  • Google expanded its consumer AI lineup with Gemini 3.1 Flash Live for real-time audio chats and Lyria 3 Pro, which generates music tracks up to three minutes.
  • Google said the Gemini ecosystem now reaches more than 750 million monthly users, signaling broad uptake across its apps and services.
  • Alphabet closed its $32 billion purchase of Wiz, adding cloud and AI security tools to Google Cloud to deepen enterprise offerings.
  • Analyst notes highlight AI infrastructure monetization, pointing to possible TPU licensing and Google’s custom Ironwood chips as new high‑margin lines.