Google is reportedly considering a paywall to enhance its AI-powered search capabilities

Google is exploring the idea of ​​bringing “advanced” features powered by generative artificial intelligence to its search engine. The potential shift would mark the first time Google has put AI-generated elements of its core search functionality behind a paywall, marking a major shift from its traditional ad-supported model, the Financial Times reported.

For nearly two decades, Google has dominated the search engine market, providing free access to information while generating revenue through advertising. However, the emergence of generative artificial intelligence technology, represented by the launch of OpenAI’s ChatGPT, prompted Google to reconsider its strategy. ChatGPT’s ability to provide concise, complete answers poses a direct challenge to traditional search engine formats, which rely on directing users to external sites, including advertisers’ sites.

Google’s response to this competitive pressure is twofold. The company began testing an AI-driven search service that could provide more detailed answers to user queries while maintaining the traditional model of presenting links and ads. Still experimental, this “search-generated experience” (SGE) uses artificial intelligence to provide an “AI-driven snapshot of information,” a process that requires more computing resources than a standard search response.

The introduction of advanced AI-enhanced search will be rolled into Google’s existing subscription services, such as the Google One bundle, which already includes access to the Gemini AI assistant in Gmail and Docs. This approach would keep Google’s traditional search engine and ad display free, thus retaining its main source of revenue, while providing enhanced services to those willing to pay.

Google’s consideration of premium AI search capabilities is within the broader context of technological evolution and market competition. Microsoft has integrated GPT-powered search capabilities and chatbot Copilot into its Bing search engine through a partnership with OpenAI. Despite these advances, Bing’s market share remains significantly lower than Google’s, highlighting the challenge of turning AI capabilities into market dominance.