OpenAI Set to Unveil AI-Powered Search Product, Rivaling Google’s Dominance

OpenAI, the Microsoft-backed artificial intelligence (AI) firm, is set to announce the launch of its AI-driven search product, as reported by sources closeto the project. This development marks a significant escalation in OpenAI’s competition with industry leader Google in the realm of search technology.

While the official announcement is expected to be made on Monday, it has not been previously disclosed. Reports from Bloomberg and The Information indicate that OpenAI’s search product is positioned to challenge Google’s dominance, as well as competing with Perplexity, another well-funded AI search startup.

When approached for comment, OpenAI refused to provide any further details regarding the impending announcement.

The timing of the announcement coincides strategically with the commencement of Google’s annual I/O conference, scheduled to begin on Tuesday. Google’s conference is anticipated to feature the unveiling of numerous AI-related products, setting the stage for heightened competition between the tech giants.

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OpenAI’s forthcoming search product is said to be an extension of its flagship ChatGPT platform. This innovative offering will empower ChatGPT to directly retrieve information from the web, providing users with comprehensive search results inclusive of citations. ChatGPT, OpenAI’s chatbot solution, leverages advanced AI models to generate human-like responses to text prompts.

Industry analysts have long viewed ChatGPT as a potential alternative for accessing online information. However, it has encountered challenges in delivering accurate and real-time data from the web. Previously, OpenAI integrated ChatGPT with Microsoft’s Bing for paid subscribers. In contrast, Google has introduced generative AI features within its own search engine.

Meanwhile, startup Perplexity, founded by a former OpenAI researcher and valued at $1 billion, has garnered attention for its AI-native search interface. Offering comprehensive search results with citations and multimedia content, Perplexity boasts 10 million monthly active users as of a January blog post.

Despite initial success, OpenAI’s ChatGPT has faced fluctuations in user traffic over the past year. Analytics from Similarweb indicate that global visits to ChatGPT’s website have only recently returned to their peak levels from May 2023. Consequently, OpenAI is under mounting pressure to expand its user base and enhance the capabilities of its AI-driven products.

An earlier initiative by OpenAI to introduce updated and real-world information into ChatGPT, known as ChatGPT plugins, was retired in April, as indicated by a help center posting on OpenAI’s website. This move underscores the company’s ongoing efforts to refine its offerings and address evolving user needs in the competitive AI landscape.