The computing power crunch, coupled with the expansion of advertising businesses by OpenAI's rivals, pushed Google's pre-market shares down around 2%.

According to market data from BIT (bit.com), Google (GOOGL) is down roughly 2% in pre-market trading. On the news front, OpenAI announced on October 21 that it is expanding ChatGPT Ads to 26 additional countries, bringing its total global coverage to 89 nations. The company also disclosed that over 100,000 advertisers have run ads on its platform, and its ad business hit an annualized run rate of $1 billion as of August. The market views OpenAI’s growing ad business as a direct competitive threat to Google. Separately, Google is grappling with a computing power crunch as it reallocates resources for AI research and development, making it difficult to lock in computing capacity for 2027. Google CEO Sundar Pichai recently stated that the company is reallocating computing power, diverting some capacity originally intended for external cloud services to cutting-edge AI technology development, willing to forgo some short-term cloud business revenue to focus on AI innovation. Currently, customers face major challenges in securing computing resources for 2027.