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Google Search gets biggest overhaul in years with new generative AI features
Google (GOOG, Google) on Tuesday announced some of the biggest changes to its search product in years, rolling out generative AI capabilities to deliver more complete and direct answers to questions.
The company will roll out its generative AI updates to US users starting today and to more than a billion people around the world by the end of the year.
The announcement, as part of Google’s I/O developer conference, brings a new look to Search through its AI overview. The feature provides a brief AI-generated response to searches, along with a series of links to the sources cited in the response.
An example of AI overview research. (Image: Google) (Google)
Google is also working to answer more complex responses through an update to Search Labs – which gives users the ability to test upcoming features. The company says you’ll be able to search for a yoga or Pilates studio in Boston that offers new member discounts and how far it is from Beacon Hill, and Search will give you an answer without you having to perform multiple searches. It will also let you do things like look up meal plans for a group or put together a vacation itinerary.
There’s also a new video search option coming to Search Labs that allows users to record a video and use it as a search prompt.
In one example, the company says that a user dealing with an issue related to a turntable tonearm could record a video of the issue, and Search could provide an AI overview explanation of the malfunction. and how to solve it.
But don’t expect this multi-step or video survey to be available today. Google said it will be coming to Search Labs soon, and for now it will only be available for English-language queries in the US.
A multi-step search using Google’s new generative AI capabilities. (Image: Google) (Google)
I’ve been using AI Overview and it’s been a useful addition to Search, whether I’m looking for information about obscure video games from the 1990s or how to treat a foot injury.
All of these functions are part of Google’s effort to drive generative AI across its massive ecosystem of products, including Android, YouTube, Gmail and more.
Google is the world leader in search, with Statcounter indicating the company controls 91% of the market compared to rival Microsoft (MSFT) Bing is about 4%.
Google Search is responsible for a large portion of the company’s advertising revenue, and any changes to its formula could impact advertiser spending. In 2023, Google Search and other business segments generated $175 billion of the company’s $307 billion in total revenue.
The company is also facing increased competition from Amazon (AMZN), which saw advertising revenue jump 24% year over year to $47 billion in 2023 from $38 billion in 2022.
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Still, there are still rumors that ChatGPT developer OpenAI is working on a search offering of its own. On Monday, OpenAI made headlines after showing off its GPT-4o latest featuresincluding new translation features.
It’s unclear whether an OpenAI search engine would be able to drive users away from Google.
Bing, for example, hasn’t managed to chip away at the company’s market share much despite adding its own generative AI capabilities.
But ChatGPT is a popular tool and the brand most associated with AI; If OpenAI can add the right mix of functionality and usability to this product, Google could sweat.
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Email Daniel Howley at dhowley@yahoofinance.com. Follow him on Twitter at @DanielHowley.
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