# Google Gemini 3.5 Pro delay fuels rival AI hype

**Published:** 2026-07-22T19:03:24.540Z  
**Topic:** Google  
**Sentiment:** neutral  
**Publisher:** TrendWatcher — https://www.trendwatcher.in/article/5e80f13b-dac3-4fc1-b3e8-6eb75b400762

Google Gemini 3.5 Pro delayed months, shares fell 3.2%, rivals Anthropic and OpenAI outpace coding performance – see why the lag matters.

Google’s flagship Gemini 3.5 Pro model will not arrive at the May developer conference as planned, pushing the launch back by several months and triggering a 3.2% drop in Alphabet’s stock on Thursday [1]. The delay raises concerns that Google is losing its edge to Anthropic and OpenAI, which have already rolled out coding‑focused models that surpass Gemini’s current capabilities.  

| At a glance | |
|---|---|
| Model | Gemini 3.5 Pro (delayed) |
| Expected launch | May 2026 developer conference (postponed) |
| Stock impact | –3.2% on delay news |
| Competitor edge | Anthropic & OpenAI models outpace Gemini in coding |

## Internal friction and product rollout  
Google engineers describe a “code red”‑style scramble that has turned into a bureaucratic maze, with multiple product groups—Search, Maps, YouTube, Cloud, DeepMind, Android—each building separate AI coding tools. The resulting overlap has slowed the testing of Gemini 3.5 Pro and forced internal teams to compete for limited compute capacity [1]. Recent attempts to improve coding ability by updating Gemini’s training data produced “disappointing” results, according to insiders, prompting the company to pause the rollout [1].  

## Competitive landscape  
Anthropic and OpenAI have already released models that “further outpace” Google’s current offerings on code generation tasks, according to the same sources [1]. Those rivals have been able to ship new versions quickly while keeping costs low for customers, a contrast to Google’s slower, more fragmented release cadence. The delay also comes as both Anthropic and OpenAI face regulatory scrutiny—Anthropic after a cybersecurity‑risk flag and OpenAI after national‑security pressure—but they continue to push ahead, underscoring Google’s relative lag [1].  

## What to watch  
- **Gemini 3.5 Pro release timeline** – monitor Google’s next public statement for a revised launch date.  
- **Alphabet earnings** – next quarterly report will reveal whether the delay impacts revenue from AI‑driven services.  
- **Rival model updates** – track Anthropic and OpenAI releases for further performance gaps in coding benchmarks.  

The delay highlights a structural challenge for Google: aligning its sprawling product ecosystem around a single AI model without sacrificing speed. Whether the company can regain momentum before competitors solidify their lead remains an open question.

## Sources
1. Los Angeles Times — [Inside Google’s Gemini delay: Coding stumbles, clashing teams and frustrated engineers](https://www.latimes.com/business/story/2026-07-17/inside-googles-gemini-delay-coding-stumbles-clashing-teams-frustrated-engineers)
2. Wikipedia — [Google Gemini - Wikipedia](https://en.wikipedia.org/wiki/Google_Gemini)

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Cite as: TrendWatcher, "Google Gemini 3.5 Pro delay fuels rival AI hype", https://www.trendwatcher.in/article/5e80f13b-dac3-4fc1-b3e8-6eb75b400762