In a revealing admission, Google CEO Sundar Pichai has acknowledged that the tech giant was caught off guard by OpenAI’s ChatGPT launch, despite having similar AI capabilities in development. According to Business Insider’s report, Pichai conceded that Google had the technology to release a ChatGPT competitor as early as 2021 but held back due to concerns about potential risks and misuse. This hesitation ultimately allowed OpenAI to seize the initiative in the generative AI race, forcing Google into a reactive position.

The revelation highlights the complex balancing act tech companies face between innovation and responsibility. While Google was developing its LaMDA model (which later evolved into Bard and now Gemini), the company’s cautious approach to deployment gave OpenAI the opportunity to reshape the AI landscape with ChatGPT’s surprise December 2022 release. Pichai’s comments suggest that Google’s internal ‘red team’ evaluations and concerns about hallucinations and potential harmful outputs led to delays that ultimately proved costly in terms of market positioning.

This strategic misstep has had significant consequences for Google, triggering what Pichai described as a ‘code red’ situation within the company and prompting a rapid acceleration of their AI deployment plans. The situation serves as a cautionary tale about the pace of AI innovation and the competitive dynamics of the tech industry, where being first to market with transformative technology can establish crucial advantages. As Google continues to invest heavily in AI with its Gemini models, the company appears determined not to be caught flat-footed again in the rapidly evolving artificial intelligence landscape.

Source: https://www.businessinsider.com/sundar-pichai-google-ai-beat-by-openai-chatgpt-launch-2025-10