Despite a $10 billion investment in OpenAI and the release of an AI-powered Bing search engine, Microsoft has struggled to make a significant dent in Google's market share. As of September, Bing only had a 3.03% share of the online search market, compared to Google's 91.56%. Even with AI developments, Nadella fears that the cycle of Google's dominance could become even more vicious due to the reinforcement of defaults.
Key takeaways:
- Satya Nadella, CEO of Microsoft, testified in the Justice Department's antitrust trial against Google, stating that Google's dominance in online search is hurting Bing.
- Nadella expressed doubts that Microsoft's AI capabilities could help Bing surpass Google, citing Google's distribution advantage and the reinforcement of defaults.
- Despite a $10 billion investment into OpenAI and the release of a new AI-powered Bing search engine, Bing only holds a 3.03% share of the online search market, compared to Google's 91.56%.
- The DOJ filed a lawsuit against Google in October 2020 over accusations of using 'anticompetitive and exclusionary practices' to dominate online search. The trial is ongoing.