Open AI is bringing the AI battle with high stakes in the AI search frontier against Google. Inside information indicates maybe the AI research company is launching its artificial intelligence-powered search tool on 15th of May. However, this means that OpenAI now has to compete head-on with Google’s overall dominance in the search engine market.

OpenAI’s AI

Overview Table:

AnnouncementOpenAI to unveil AI-powered search rival to Google on May 15th
Product DetailsAn extension of ChatGPT to search the web and cite sources
Competitive LandscapePerplexity (valued at $1B, 10M users), Google launching own AI feature
Potential ImpactCould disrupt Google’s $149B search ad revenue business
Key Advantages of AI SearchNatural language queries, summarized answers, dynamic updates, multimedia results, personalization
Market ReactionAlphabet (Google) stock dropped 2% on reports before recovering partially, renewed interest in ChatGPT
The FutureAI-powered search could revolutionize how information is accessed online, but challenges remain

The Announcement: What is Expected

Details are still unknown, but it appears that OpenAI’s upcoming search service will be an extension of the popular ChatGPT chatbot. The new product will be a great enhancement for ChatGPT in the sense that it will directly pull information from the net and cite sources in its responses.

This AI advanced search capability would be an alternative choice that could be more competitive than traditional search engines such as Google. OpenAI Head Sam Altman revealed a secret about “magic” updates on a post on website X (the new name for Twitter) recently.

The Competitors

Open AI is not the only entity that stands against Google but there are others vying for the throne. Furthermore, Perplexity, a well-funded AI startup along with its AI-native search interface, has enjoyed phenomenal improvement.

Some key stats on the competition:

  • Perplexity’s valuation: To $1 billion
  • Perplexity’s monthly active users: 10 mil. (at the moment, we are at Jan 2023)
  • ChatGPT’s peak monthly active users: 100+ million

Although Google has just announced its AI features, still, the narrow AI search product developed by the OpenAI foundation is a pretty serious challenge for the search engine.

The Search Engine Evolution

Dynamic search has been stable for the last decades. AI-powered solutions like OpenAI’s could spark a revolutionary shift:

  • Bypassing simple keyword matching to having a real language comprehension.
  • The content should not only contain links, but also give precise summarised answers.
  • Creating visual and multimedia output will be a key focus.
  • Providing relevant, individualised search opportunities in a given context

The Market Impact

An effective AI search solution has the potential to dramatically alter the $149 billion per year revenue from the Google search ad business. Alphabet’s stock had hit a drop of above 2% upon reports of the OpenAI announcement, however, it soon levelled out to an average level.

Per Similarweb data, the users of ChatGPT are currently back to the level they were before the sudden fluctuations that occurred, while OpenAI is continually expanding its services.

Prime AI Benefits in Search

Some potential key benefits of AI search engines include:

  • For instance, there will be more of those natural language queries and conversational search.
  • Immediate answers condensing information from multiple sources.
  • Live updates whenever there are any changes in the information.
  • Multiple formats of media (text, video, diagram, etc.).
  • Personalised results based on individual understanding


The increased AI search competition is attracting the attention of the users and the companies. Notwithstanding the accuracy, bias, and censorship issues, AI-assisted search is already at stake as the leader of this decade’s revolution of the World Wide Web.

An achievement of whether OpenAI is really as all its hyped up to be or not is yet to be demonstrated. However, what is obvious is that the AI-generated revolution is impacting the way we gain information online.