Ahead of OpenAI's event on Monday to announce ChatGPT-4o, rumors were circulating that the company was preparing to launch an AI-powered search product to rival Google Search. Put an end to the rumors (For now), the question remains: As more and more people access information through tools like ChatGPT, will generative AI change the nature of internet search forever? Will internet search (as we know it today) disappear completely? And what will generative AI mean for search engine optimization, an industry worth approximately $68 billion a year?
Generative AI takes the stress out of information search
Let's be honest: the average internet search experience is clunky at best. When you search for something like, “What are the top things to do in Savannah, Georgia?”, you're likely presented with thousands of search results. Then you have to sift through the top results and avoid all the cookie notices that pop up on each website. Plus, you might have to scroll through paragraphs of SEO content to find the simple answer you were looking for.
Compare this to asking a tool like ChatGPT, “What are the best things to do in Savannah, Georgia?” You simply type or speak your question and get an answer instantly. The AI ​​searches the internet for you, so you don't have to. Generally speaking, it's a much easier and less stressful experience for the user. (Of course, whether the information you receive from a generative AI tool is 100% accurate is another matter, but the same can be said about any internet search.)
Clearly, this has the potential to fundamentally change or even threaten internet search as we know it. So it’s no surprise that internet search companies are rapidly integrating generative AI into their search services. Microsoft Bing was the first to integrate ChatGPT. Google has also released a new search experience called Search Generative Experience, which is designed to help users navigate information online more easily. For example, SGE users can see definitions by hovering over specific words or access a list of key points from a long webpage.
In other words, internet search companies are ramping up their generative AI capabilities to deliver a cleaner, less-frictional search experience. But will these efforts be enough? Or will tools like ChatGPT gain a competitive advantage? It's too early to say for sure, but one thing is certain: generative AI is definitely going to change the way we search for information.
Is the SEO industry under threat?
Probably yes. Traditional SEO tactics may be rendered obsolete by generative AI. SEO strategies provide organizations with ways to get search engines to prioritize their websites and place them as high as possible in search results. Banner display and paid ad placement are other strategies to ensure websites appear prominently in search results. However, as users increasingly bypass search engines and get their information from tools like ChatGPT, time-consuming SEO efforts and paid ad placements become moot.
Companies like Microsoft and Google know this, which is why they were eager to add generative AI tools to their search features to retain users, even though they knew it could impact future revenue from paid ads and banner displays. Considering that 58% of Google's 2022 revenue will come from Google Ads, it's clear how much a company like Google will lose. This means that search providers like Google and Microsoft will likely monetize generative AI answers in the future, just as they previously monetized standard search results.
In other words, the big players will be fine. As these tech giants find ways to innovate and monetize with generative AI, new revenue streams will emerge. But for smaller businesses that offer SEO services, generative AI could pose a fundamental threat to their business models.
Lessons for every business
SEO is just one example of how generative AI can impact business – for better or for worse. Generative AI has the potential to impact nearly every business in different ways. Business leaders need to take a proactive approach to understanding and leveraging this transformative technology.
Start by conducting a SWOT analysis to identify how AI can enhance your business. Evaluate how to integrate AI into your core processes to improve efficiency and customer experience. Stay informed about industry trends and your competitors' AI strategies. Initiate pilot projects to test AI applications within your organization and invest in training to help your employees use AI tools effectively. By doing so, you can update your business strategy to leverage the full potential of generative AI and stay ahead in a rapidly evolving environment.