As Google navigates the legal minefield set by US regulators, it’s facing a potentially more disruptive challenge: open AI.
With Microsoft as its key partner, Sam Altman’s AI powerhouse is already threatening Google’s hegemony more than the current antitrust cases.
A recent decision in the United States concluded that Google’s search dominance was unlawful, a victory for the regulators.
However, many professionals believe AI threatens the industry leader, especially open AI’s ChatGPT. It is gradually compromising Google’s dominance in the search market.
Open AI, which recently released the new Search GPT tool, can further weaken Google’s dominance (Reportedly fell by 3% on Thursday).
Exgooglers and analysts argue that Google certainly has the money and manpower to dominate AI. However, its reaction has been sluggish compared to AI’s progress.
Google has remained the uncontested market leader in searches for over a decade. Its global market share is estimated at 90%, and its search business generates almost $175 billion in annual revenue.
While Google has been a pioneer in the development of artificial intelligence, it has been slow to formally enter the AI space directly with consumer-facing products.
Nevertheless, breaking Google’s dominance in the search field is not simple. Richards Sochar, who is the founder and CEO of an AI-based search engine called you.com, states that the DOJ’s initiative may open an opportunity for a new entrance into the market, but it is going to be very difficult to counter Google.
