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Data from analytics firm Similarweb suggests that integrating OpenAI’s ChatGPT into Microsoft Bing has boosted the search engine’s ability to compete with market leader Google regarding page visits growth. The data shows that page visits on the little-used Bing increased by 15.8 percent since Microsoft launched its AI-powered version on February 7. Meanwhile, Google saw a decrease of nearly 1 percent during the same period as of March 20.
The figures suggest that Microsoft is ahead of Google in the fast-paced competition for generative AI dominance, primarily due to ChatGPT. Many experts have referred to this viral chatbot as the “iPhone moment” of AI.
The data also highlights a rare opportunity for Microsoft to gain a foothold in the search market worth over $120 billion, which Google has dominated with a share of more than 80 percent for decades.
According to Gil Luria, an analyst at DA Davidson & Co, Bing is likely to increase its market share in search over the next few months, particularly if Google continues to postpone the integration of generative AI into its product.
“Bing has less than a tenth of Google’s market share, so even if it converts 1 percent or 2 percent of users, it will materially benefit Bing and Microsoft,” Luria said.
According to app research firm Data.ai, integrating AI technology has resulted in an eightfold increase in Bing app downloads worldwide. In contrast, the data indicated that downloads for the Google search app declined by 2 percent during the same period.
Although Bing AI has been accessible to most global users since February, Google only recently initiated the public release of its chatbot, Bard.
Several analysts have suggested that Google can maintain its lead in the search market despite the initial setbacks. In 2000, Google overtook Yahoo to become a dominant search engine player.
“Google’s ranking algorithm can have a competitive edge over that of competitors,” Yongjei Jeong, an analyst at Mirae Asset Securities in South Korea, said.
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