With the rise of AI, traditional search engines like Google may face serious competition, as suggested by Apple executive Eddy Cue during a recent antitrust case. As Apple explores incorporating AI into Safari, it notes a decline in searches. Cue predicts that AI search providers, such as OpenAI, could eventually replace conventional search engines. This shift has implications for the lucrative $20 billion Google pays Apple to remain the default search engine. Analysts view Appleâs move as part of a broader strategy to hedge against Google.
"Prior to AI, my feeling around this was, none of the others were valid choices. I think today there is much greater potential because there are new entrants attacking the problem in a different way."
"AI search providers such as OpenAI and Perplexity will eventually supplant Google and other conventional search engines, Cue said Wednesday."
"This is a shot across the bow against Google and Apple is hedging its bets on AI partners," Ives told USA TODAY.
"Google pays Apple $20 billion a year to be the default search engine on Apple devices - a lucrative deal that accounts for about 36% of its search advertising revenue, analysts estimate."
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