ChatGPT, the conversational, buzzy new AI chatbot created by OpenAI, could eventually threaten Google’s advertising business, according to a former Google executive.
Sridhar Ramaswamy was the head of Google’s advertising team from 2013 to 2018. He said that ChatGPT could “destroy Google’s business model” by stopping users from clicking on ad-linked links. According to data, these ads generated around $208 billion, or 81% of Alphabet’s total revenue in 2021.
Recently, the chatbot surpassed one million users in just five days. It streamlines the process of searching. ChatGPT is different from Google, which shows a list of relevant links to the search. Instead, it provides a single answer and synthesizes information from millions of websites in a conversational way.
Ramaswamy stated that it was a “better experience.” Google search’s goal is to get you clicking on ads and links. All other text is filler.
Ramaswamy’s comments came after AI research company OpenAI launched a ChatGPT early demo last week. This sparked discussions about whether ChatGPT will replace Google. According to The Information, Google could be hit with another blow as it plans to lay off 10,000 employees to reduce costs in a challenging economic environment.
ChatGPT users may prefer ChatGPT’s approach to search over Google’s. However, the bot can be riddled with errors.
One user said the bot couldn’t correctly fix coding issues. Another user submitted her 12-year-old daughter’s English essay to the bot. The bot generated an analysis that suggested that one of the characters’ parents had died.
Stack Overflow, an online forum for software developers seeking coding advice, has temporarily removed answers from ChatGPT.
OpenAI is currently working on WebGPT, which aims to improve accuracy and include source citations for search queries.