Bioengineering specialist Ginkgo Bioworks Holdings(NYSE: DNA) delivered some badly needed good news for investors on Tuesday. Those folks commensurately rewarded the company by trading up its stock during that day's session, and it closed more than 9% higher in price. That was more than enough to crush the broader market that day, at least in respect to the stagnating S&P 500 index.
Two new products introduced
Ginkgo's news was connected with its efforts in the artificial intelligence (AI) sphere. While that technology isn't as hot as it was for investors several months ago, there is still much interest in its power and potential.
The company unveiled two new products on Tuesday linked to AI. The first is a protein large language model (LLM) it developed with its tech industry partner Alphabet's Google Cloud Consulting unit. According to the biotech, this LLM "will give individual researchers and enterprise companies the ability to develop medicines with insights from Ginkgo's private data."
The company also rolled out its model application programming interface (API; a piece of software that allows different applications to work together). The API, which has been made publicly accessible on Ginkgo's website, allows researchers to work effectively with biological AI models, the company said.
Hope for the future
Ginkgo did not provide any financial details -- costs, pricing, etc. -- of either offering. Regardless, it's clear that investors are enthusiastic about its assertive push into AI and its continuing emphasis on the power of tech to aid in the development of medicines. Shareholders will be hoping that management can turn such efforts into meaningful revenue generators before long.
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