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Home News Technology

Google pauses construction of massive Silicon Valley campus amid cost-cutting efforts

Jatin Batra by Jatin Batra
April 22, 2023
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Google pauses construction of massive Silicon Valley campus amid cost-cutting efforts
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Last updated: April 22, 2023, 5:57 AM IST

The Google LLC logo is seen at the Google Store Chelsea in New York City, US, January 20, 2023. (Image: Reuters)

Google’s parent company Alphabet announced early this year that it would cut about 12,000 jobs globally, citing a challenging economic reality

Google has halted construction on a massive campus in the Silicon Valley city of San Jose to control costs, CNBC reported Friday.

Google’s parent company Alphabet announced early this year that it would cut about 12,000 jobs globally, citing a challenging economic reality.

Alphabet reported lower-than-expected sales and profits in the last three months of last year as advertising activities cooled down due to harsh economic times.

The internet giant will publish its most recent quarterly figures next week.

A site in San Jose had been cleared for a Google “Downtown West” campus, with construction set to begin by the end of this year, according to CNBC.

The report quoted unnamed people as saying the project had been put on hold, with no word to contractors about when it might resume.

An approved plan for the 32-acre campus included office space, housing units and public parks, according to CNBC.

Alphabet’s cuts follow a major hiring boom during the height of the coronavirus pandemic by internet companies scrambling to meet demand as people went online for work, school and entertainment.

Analysts have said the big guns of tech had previously overspent and saw no slowdown on the horizon.

Google’s globally dominant search engine is under pressure from the rise of ChatGPT, a Microsoft-backed chatbot that can generate rich, human-like content in seconds.

Microsoft is using technology to bolster Bing, a longtime rival to Google Search.

Google recently started letting people in the United States and Britain test its AI chatbot, known as Bard, as it continues its gradual path to catching up with Microsoft-backed ChatGPT.

Bard, ChatGPT and other similar artificial intelligence apps produce essays, poems or computer code on command and have taken the world by storm as the biggest new thing in technology since the arrival of the iPhone.

Read all the latest technical news here

(This story has not been edited by News18 staff and was published from a syndicated news agency feed)

Rohit

Rohit is a News18.com journalist with a passion for world affairs and a love for football. Follow him on Twitter at @heis_rohit…Read more
Tags: campusconstructioncostcuttingeffortsGooglemassiveNewsMadurapausesSiliconValley
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