Alphabet (GOOGL) is reportedly racing to add artificial intelligence capabilities to its Google search engine as it faces new competitive threats from rival Microsoft (MSFT).
The New York Times newspaper has reported that Alphabet is working overtime to add A.I. to Google after it learned that consumer electronics giant Samsung is considering replacing Google with Microsoft’s Bing as the default search engine on its smartphones and other devices.
The Bing search engine, which incorporates A.I. from ChatGPT, is the biggest threat to Google’s dominance of the search business in more than 25 years.
Alphabet’s search business was worth $162 billion U.S. last year. Alphabet gets an estimated $3 billion U.S. in annual revenue from its search contract with Samsung.
Alphabet is racing to build an all-new search engine powered by artificial intelligence. The Silicon Valley-based company is also upgrading its existing Google search engine with new A.I. capabilities.
The new A.I. features are being developed under the project name “Magi” and will offer users a more personalized experience that anticipates users’ needs.
Billions of people use Google’s search engine every day for tasks ranging from finding restaurants to understanding a medical diagnosis.
The company’s Google logo and an empty search bar is one of the most widely used web pages in the world.
Alphabet’s stock has declined 15% in the past 12 months to $108.87 U.S. per share.