5 Best AI Software Stocks to Buy According to Hedge Funds

2. Alphabet Inc. (NASDAQ:GOOG)

Number of Hedge Fund Holders: 265

Alphabet Inc. (NASDAQ:GOOG) is one of the best AI software stocks to buy according to hedge funds. Reuters reported on June 17 that Britain’s competition watchdog ‌has ordered Alphabet Inc.’s (NASDAQ:GOOG) Google to provide greater transparency on the workings of its search ranking, which is a part of the new rules that aim to secure a “fairer deal” for businesses and address the concerns associated with the company’s dominance in the sector. It further reported that according to the Competition and Markets Authority’s statement on Wednesday, Google’s organic search results must be ranked using objective criteria, along with the introduction of clearer complaint processes, increased transparency over ranking, and allowing the transfer of their search data to authorized third parties.

Reuters also stated that Google has been assigned a “strategic ​market status” by the CMA, enabling it to set targeted rules for increased transparency, as Alphabet Inc. (NASDAQ:GOOG) accounts for over ⁠90% of UK search queries. CMA Executive Director Will Hayter stated that “Step by step, we’re ensuring that Google’s search services work better for businesses and consumers across the UK”.

Alphabet Inc. (NASDAQ:GOOG) is a holding company with segments including Google Services, Google Cloud, and Other Bets. The Google Services segment operates various services and products, including Android, Google Maps, Google Play, Chrome, Search, and YouTube.