Google's AI Gamble: Internal Chatbot Predates ChatGPT But Remains Unreleased Amidst Talent Exodus
August 3, 2026
A former Google AI team member reveals that Google built an internal chatbot called LMChat about a year before OpenAI released ChatGPT, but the company chose not to release it to protect its core search business.
Google reportedly delayed public release due to concerns about hallucinations and potential disruption to search, with leaders like Sundar Pichai and Jeff Dean acknowledging similar capabilities but urging caution.
Sottiaux corroborates an earlier Jeff Dean interview cited by another AI engineer, noting that Google's internal bot existed but wasn’t deemed superior to simple Google searching at the time.
The piece frames Google, OpenAI, and Anthropic as the leading players in today’s AI competition.
The report references social media posts and interviews, placing the claims within the broader industry discourse.
Talent moves underscore ongoing attrition at Google’s AI teams, with notable departures to OpenAI and Anthropic, signaling competitive pressure in the AI race.
In June 2024, prominent figures like Noam Shazeer and John Jumper left Google-related teams for OpenAI and Anthropic, with additional exits to Anthropic, highlighting a wider brain drain.
The exodus is seen as evidence of Google’s defensive posture as rivals gain ground in coding AI and other domains, suggesting a gap between internal innovations and market-leading products.
OpenAI’s ChatGPT launch catalyzed rapid market expansion, reaching millions of users quickly and reshaping competition where Google’s Gemini vies for dominance with hundreds of millions of users.
ChatGPT’s milestones—rapid early adoption and continued growth—are contrasted with Gemini’s growing user base, illustrating shifting momentum in the AI ecosystem.
Since ChatGPT’s debut, the industry has accelerated, with AI platforms approaching hundreds of millions to nearly a billion users, underscoring ongoing competition among Google, OpenAI, and Anthropic.
The reporting suggests this episode is a significant, underappreciated chapter in AI history, with Google’s talent loss and cautious strategy shaping its current market position.
Summary based on 6 sources
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Sources

Mashable India • Aug 3, 2026
OpenAI Employee Claims Google Developed ChatGPT Earlier But Kept It Under Wraps: Here's Why
BigGo Finance • Aug 3, 2026
OpenAI Engineer Claims Google Built a ChatGPT Rival a Year Earlier but Shelved It Over Search Fears
Times Now • Aug 3, 2026
Google Had A ChatGPT-Like AI Before OpenAI But Never Released It: Report