Alphabet’s Gemini 3 AI Launch Propels Stock to Record High
Alphabet Inc. shares surged 3% to a historic close of $292.82 following the debut of its Gemini 3 artificial intelligence model. The new system outperforms competitors including OpenAI's GPT 5.1 in benchmark tests, though at higher operational costs.
User adoption shows dramatic growth, with Gemini's monthly active users climbing to 650 million from 450 million in July. The platform still trails ChatGPT's 800 million weekly users, but analysts at D.A. Davidson describe Gemini 3 as "the current state-of-the-art" in AI capabilities.
Concurrent launches include Gemini Agent for task automation and the Antigravity coding environment for premium subscribers. Alphabet's market valuation now approaches Microsoft's position as the third-largest U.S. company, with shares gaining over 70% since Barron's 2025 recommendation.
