 Google stopped pricing by 7% in one day after its AI checkbox made a factual error on its first day of debut. What? Such a factual mistake stunned investors as Google has always thought to be the leader in AI technology. But disappointing performance was in stark contrast with its competitor, ChatGPT, in which Microsoft has invested billions. Has Google fallen behind? So is it time to say goodbye to Google with the rise of ChatGPT? If you are a Google shareholder, should you be selling your Google stocks right now? Let's find out more in this video. Hi, everyone, this is Chloe and welcome back to my channel. The only one place for you to learn about stocks, investing, as well as options. If it's the first time of you coming to my channel, remember to hit the subscribe button as well as the notification bell so that you will not miss out any of my future investment updates. An early thumbs up is also appreciated because I will tell YouTube algorithms that you find this video helpful and it will help to push out to more people to inspire them to start investing safely. In return, I will tell you whether it's time to sell Google. Let's go! With the rise of ChatGPT, many investors start to question if Google has fallen behind in AI development. They are afraid that Google will become the next yahoo overtaken by Microsoft Bing, powered by ChatGPT. No doubt, ChatGPT is a super powerful AI chatbot. Its user-friendliness as well as its ability to provide very useful insights really can save people a lot of time. That's why it has racked up more than 100 million active users every single month ever since its debut about two months ago. In response to ChatGPT's popularity, Google has declared an internal code red to accelerate the development of BART and AI technology. Oh my god, is Google in danger? But instead of jumping to the conclusion that you should be selling Google right now, let's first take a look at Google's business model before writing it off as an investment opportunity, or worse, sell it off too early. Google's primary source of income comes from advertising. Almost 80% of its revenue comes from ads. And the reason why Google has been able to enjoy this uncomtested dominance is because it has over 90% search engine market share. So why has Google been able to enjoy this jaw-dropping leadership? That's because this company has several competitive advantages which we call economic mode. Huh? What's that? Now let's take a look at the competitive advantage that Google enjoys. Number one, network effect. Google's search engine is the go-to choice for billions and billions of people out there. The more users Google have, the more incentive content creators want to provide information on Google. And the more content on Google, it will attract more users to this platform because Google is where all the information lies. These virtuous cycles makes Google super powerful as a search engine. Economic mode number two, intangible asset like data. Every single day, Google collects vast amount of information and data from its users. And Google uses all these data collected to improve on its algorithm and provide more relevant search results to its users. Users will want to use Google even more because the accurate information being provided. The data that Google collected also provides very valuable information into consumer behaviors and preferences and thus being able to draw a lot of advertisers. And that's why you'll be able to see Google's revenue and net income have been increasing consistently over the year. Mode number three, which it also has to do with intangible asset but this time more in the power of branding. Because Google is so ingrained into our everyday life, it has now become a habit for people to Google information. In fact, Google has become an official verb that we use in our daily conversation. On top of Google as a search engine, we also use Google map, YouTube, Gmail and all of these app created an ecosystem that helps to strengthen its mode even further. Imagine you have been so used to Google asking you to stop using it. Breaking this habit is actually not easy at all. So unless its competitor like Bing can really be significantly better than Google, it may not be an easy task for people to switch over so quickly. And for now to say that Bing is indeed the next AI search engine, it's too early to tell. On top of that, Google is definitely not going to stay there and do nothing. Especially right now they have seen the power of chat GPT and its potential to disrupt Google as a dominant search player and that's why they have declared Code Red to make sure they stay competitive. Which leads me to point number 4, Google's technological advantage as an economic mode. According to a report by Bank of America, Google has invested over $120 billion in artificial intelligence and cloud computing since 2016. So it has a long history of investing in cutting-edge technology. Although not all investments will bear fruit, but they all help to propel Google forward in this AI race. Plus, Google has a very strong balance sheet of over $113 billion of cash, showcasing its ability to continue to fund its R&D to improve on its AI SOS cloud computing. On top of that, because of the recent drop in share price, Google has become more attractive in terms of valuation. The current P racial of 21 times is significantly lower than its past 5-year average of more than 31 times. So investors who have a long-term investing horizon and believing that Google will continue to evolve to improve on its technology could see this recent drop as a potential entry opportunity. And in my opinion, this is definitely not the right time to sell Google. Of course, on the technical side, Google still looks bearish and may have more downside to come. And that's why if you know how to use options, you can consider different option strategies based on your objective. For example, if you already have a large holding in Google, but you do not want to sell away in case Google starts to run up, however you are afraid that there may be potential drawdown due to the recent bearish sentiment. You can consider buying insurance for your Google holding using strategy Y. So if Google does fall, these options insurance that you bought will add as a cushion to your portfolio. On the other hand, if you want to buy Google shares, by the same time, you feel that the current share price is a little bit too expensive and you want to lower your risk even more by reducing your purchase price, you can consider using BOSS option strategy to promise to buy the stock even lower than the current market price. For example, instead of buying your shares at current market price of $95, you can promise to buy your shares at only $91. In return, you get to collect about $175 in terms of passive income. That's about 2% return in just one single month. So there are different options strategy to suit different portfolio objectives and options will give you more options. However, this is not investment advice, so make sure you get yourself educated first before making any form of investment decision. And that's why if you want to learn more about options, you can join us in our upcoming next level options masterclass. All you to do is to click on the link below to sign up for your free spot. Lastly, Google has also announced more than $100 billion of share buy back. This could be the sign that even the management feels that the current stock price of Google is attractive. And that's why they're willing to allocate $100 billion to buy back its shares. And by doing so, it will further increase the value for the existing shareholders. So what's your take on Google? Are you going to buy it, sell it or wait and see? Comment down below and let me know your thoughts. In the meantime, you can check out some more of the video right here to learn more about different options strategy to take your investing to the next level. Don't forget to join my telegram channel as well to get more investment insight. With that, I will see you in the next video. Happy investing!