Google is reportedly contemplating the introduction of paid “premium” options powered by generative AI to its search engine, The Monetary Occasions reported on April 2.
Sources near the matter informed the newspaper that Google is exploring the potential of incorporating AI-enhanced search capabilities into its present suite of premium subscription providers.
The suite already consists of entry to Google’s newest AI improvements, such because the Gemini AI assistant built-in inside Gmail and Google Docs.
Whereas the technological infrastructure for these premium options is below growth, Google’s government workforce has but to make a last resolution on the launch and its specifics.
Shifting away from advert income
Regardless of the proposed modifications, Google’s conventional search functionalities are anticipated to stay freely accessible, with ads persevering with to accompany search outcomes — even for subscribers.
The potential shift to a paid mannequin can be a major departure for Google, which has traditionally supplied shopper providers freed from cost, relying solely on promoting revenues.
Based on the report, the corporate shouldn’t be contemplating an ad-free search expertise however is dedicated to creating new premium capabilities and providers to reinforce its subscription choices.
The tech big highlighted its ongoing efforts to reinvent search to fulfill evolving person wants by generative AI, indicating substantial question development in main markets with out confirming any particular plans for the long run.
Google’s search and associated promoting ventures generated $175 billion throughout 2023, accounting for over half of its complete income. This poses a strategic dilemma for the corporate: adopting cutting-edge AI improvements with out jeopardizing its most profitable income supply.
Experimental SGE providers
The strategic consideration comes at a time when Google’s promoting enterprise faces potential disruption from superior AI applied sciences, practically a 12 months and a half following the launch of OpenAI’s ChatGPT.
In response, Google launched an experimental AI-powered search service in Could 2023, aiming to supply extra detailed solutions whereas sustaining the supply of hyperlinks and ads. Nonetheless, it has been sluggish to undertake options from its “Search Generative Expertise” (SGE) into the primary search engine.
Using generative AI in search outcomes requires considerably extra computing assets, making these superior options extra expensive for Google to offer. Presently, entry to SGE is restricted to a choose group of customers, together with some subscribers to the Google One service.
SGE supplies numerous options, together with the power to ask extra advanced questions, obtain matter snapshots, and comply with up on outcomes, plus artistic instruments. The service launched AI picture technology in October 2023, offering performance just like a Midjourney and different apps.
No matter how Google’s AI-powered providers develop, the corporate will inevitably compete with OpenAI’s ChatGPT and Microsoft’s Bing AI, each of which have established income fashions combining free and premium entry to content material.
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