Thought Leadership
With SearchGPT, OpenAI is integrating a real-time search into ChatGPT and positioning itself as a direct competitor to established search engines. The AI search is now available.
By integrating a search function into its popular chatbot ChatGPT, the Californian AI company is entering into direct competition with established players like Google and Microsoft Bing. The new function, which has been in beta testing since July under the name SearchGPT, gives users access to the latest sports results, stock market prices, news and weather forecasts. These are provided through real-time internet searches and partnerships with news agencies and data providers. Prior to this update, ChatGPT’s knowledge was limited to a period between 2021 and 2023, depending on the model.
This is intensifying the competition in the search engine market, which has already been set in motion by the meteoric rise of Perplexity. The start-up, which was only founded in 2022, has gained more than 10 million monthly active users in just a few months with its AI-supported search engine. Perplexity’s success is proof that users are increasingly looking for alternatives to traditional search engines.
Is Google’s supremacy crumbling?
This development could have far-reaching consequences for search engine giant Google. Since the launch of ChatGPT in November 2022, Alphabet investors have increasingly expressed concerns about potential market share losses as OpenAI opens up new ways for users to search for information. Alphabet shares reacted promptly with a price drop of around one percent.
The emerging competitive situation with Microsoft is also noteworthy. Despite investing almost 14 billion dollars in OpenAI, the start-up is now in direct competition with Microsoft’s own AI and search tools such as Copilot and Bing. However, OpenAI’s Chief Technology Officer Srinivas Narayanan confirmed that Bing continues to play an important role in the background of the new search function.
OpenAI CEO Sam Altman describes the search function as his “favorite new feature” since the original launch of ChatGPT. The company promises a “more natural, intuitive” search experience based on the company’s most powerful AI model, GPT-4o. This is supported by partnerships with well-known media companies such as Associated Press, Reuters, Axel Springer and the Financial Times.
SearchGPT is now available
The new feature will initially be available to ChatGPT Plus and Team users, followed by Enterprise and Education users in the coming weeks. Users of the free version will follow in the coming months. The web search has not been introduced as a separate product, but has been integrated into the existing ChatGPT interface.
While OpenAI reached a valuation of 157 billion dollars with a recently completed financing round, the company is facing considerable financial challenges. For the current year, losses of around 5 billion dollars are forecast on an expected turnover of 3.7 billion dollars. The company is also facing internal tensions, which have manifested themselves in several executive departures.
