There is competition between OpenAI and other competitors with Google to bring generative AI to the search engine. Googling, as it is popularly known, will be supercharged with Gemini. This was announced at Google’s annual developer conference, 2024 at Mountain View, California. Sunder Pichai called this fully revamped, new search experience. It is going to be rolled out for US users this week and will come to other countries soon.
There will be a major change– some searches will come out with AI Overviews. It is a more narrative response that spares people the task of clicking through various links.
There is a search bar. An AI-powered panel will appear underneath. It will present summaries drawn from Google search results.
There will also be AI-organized page that groups results by theme or presents, say a day-to-day plan for people turning to Google for specific tasks.
Google has ruled the market ever since its founding in 1998 because of its superior algorithm. It surpassed Yahoo! and dominated the market inviting anti-trust suit.
These days the online search is basically changing. Rivals are encroaching on Google’s turf. ChatGPT and Claude chatbots are easier to use and have been welcomed with open arms. These are threats to Google’s position and could affect the entire business of Google.
On May 13, 2024, OpenAI announced GPT-4o to power its chatbot. People can ask verbally, or show an image, and the chatbot will respond in milliseconds. On May 14, 2024, Google released its new search engine. It has now to balance its search advertising business and yet show it has stood its ground. It is trying to differentiate it from the rivals. Google is trying to translate AI innovations into profitable products and services at scale.
Last year (2023), Google had a search advertising business of $175 billion. Generative AI-powered searches will require more computing power than producing a list of links. It will affect the margins. It is trying to bring down the costs of generative AI search.
Searching also takes a lot of hard work. The company has to reduce that hard work. AI-powered Google search will be able to process billions of queries.
However, if AI Overview fully addresses the queries of users, people may click on fewer ads. It is like rocking the boat too hard. The websites rely on search giant to draw traffic. There could be fewer visitors on account of the changes.
Google is sourcing information directly in search results. There is so-called ‘zero click’ effect. Users obtain the information they are seeking without click through to the source. It is a blow to the web publishers. In competing with AI tools such as ChatGPT, Google deprives publishers of the traffic. They get deprioritized.
Google disagrees and says AI Overviews included links to get more clicks. Google will monitor the effect of AI Overviews on traffic.
Just now internet has become a mess because there is scrambling for Google’s rank. There are tricks to give the content a best shot to rise to the top. This is necessary for survival. AI Overviews will clean up the mess.