However, Google is still far ahead and has benefited from generative AI. Google's Gemini, a ChatGPT-like helper, and AI Overviews have been effective, with 71% of Google users stating these tools improved their search experience. Google's dominance in commercial searches remains unchallenged, suggesting its revenue growth from search is safe for now. Despite ChatGPT's gains, monetizing search queries as effectively as Google is unlikely in the near or medium term.
Key takeaways:
- Google's search market share has slipped from June to November, while OpenAI's ChatGPT has seen an increase in usage, according to a survey by Evercore ISI.
- ChatGPT was found to be more satisfactory than Google in certain scenarios such as learning specific skills or tasks, help with writing and coding, and researching products and pricing online.
- Despite the competition, Google's new AI tools like Gemini and AI Overviews have been effective, with 71% of users finding them more effective than the previous search experience.
- Even a 1% share of the search market is worth roughly $2 billion a year in revenue, but monetizing search queries as effectively as Google is unlikely in the near or medium term, according to Evercore analyst Mark Mahaney.