Alphabet stock drops 3.4% on Wall Street as rival tech major OpenAI prepares to launch new browser — Details here

US-based tech giant Google's parent company, Alphabet, stock price dropped 3.4% on Wall Street on Tuesday, 21 October 2025, as rival tech major OpenAI launched its new Atlas AI browser.

The San Francisco-based AI startup has launched its new artificial intelligence (AI)- powered browser, named Atlas, which is backed by the company's proprietary tool, ChatGPT. In the announcement, the company said that it has designed the browser to be fast and flexible for the next era of web search.

From using ChatGPT as a companion and offering personalised browsing services to its users, the new OpenAI browser is offering the ability to make the system remember the websites and what the user did on them. They later use this data to personalise their responses for the users.

The new AI browser also offers In-line editing, AI-powered search and an Agentic Mode, which is capable of taking actions on behalf of the users. The browser will help users to book restaurant reservations, order groceries, create purchase lists, compare options, and complete multi-step tasks in the process.

Alphabet share price trend

Alphabet's share price closed 2.37% lower at $250.46 after Tuesday's stock market session, compared to $256.55 at the previous market close. The company's shares dropped ahead of the tech rival OpenAI's Atlas AI browser launch announcement.

The shares of the tech giant dropped 3.46% to $244.15 during Tuesday's market session, compared to their intraday level at $252.62 ahead of OpenAI's announcement.

Google-parent Alphabet's shares have given stock market investors more than 206% returns on their investment in the last five years and over 51% gains in the last one-year period.

On a year-to-date (YTD) basis, the company's stock has jumped 31.85% in 2025, but the shares are trading 0.61% in the last one-month period. However, the shares of Alphabet have risen 1.39% in the last five market sessions on Wall Street.

According to the data collected from Marketwatch, the company's shares hit their 52-week high level at $257.33, while the 52-week low level at $140.53. The tech giant's market capitalisation (M-Cap) stood at $3.11 trillion as of the stock market close on Tuesday, 21 October 2025.

Read all US stock market news here

Read all stories by Anubhav Mukherjee

Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.