OpenAI launches SearchGPT to take on Google

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OpenAI has unveiled an online search tool that directly challenges Google, opening a new front in the tech industry's race to commercialize advances in generative artificial intelligence.

The product, called SearchGPT, will be available only to a small number of users initially, and the San Francisco-based company on Thursday opened up a waiting list of 10,000 people to test the service.

The product is visually different from ChatGPT in that it goes beyond generating a single answer by providing a search engine-like rail of links that users can click to navigate to external websites.

SearchGPT was developed based on feedback from publishers with whom OpenAI has recently signed contracts, including News Corp, Axel Springer and the Financial Times.

OpenAI, which has received a $13 billion investment from Microsoft, has been Google's biggest rival in AI in recent years and is ultimately aiming to re-integrate AI search capabilities into its flagship chatbot.

The move is the latest effort by OpenAI, which has led the early race to build powerful AI chatbots, to take on Google, which has dominated online search for the past two decades.

The rise of generative AI and the battle over the future of the search market could change the trajectory of both companies as Google tries to protect its profit margins and OpenAI seeks new revenue streams.

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The search giant has built a cash cow that brought in $175 billion in revenue last year, more than half of its total sales, as advances in AI have paved the way for competitors such as Perplexity, a 2-year-old startup selling an answers engine that has soared to a $1 billion valuation.

Google has been slow to pivot its search engine to generative AI, but in May, U.S. users began seeing AI summaries — brief, AI-generated summary answers to queries — at the top of many common search results, with clickable links interspersed with ads further down.

These kinds of search results, which include AI-powered snapshots, are more costly for Google to serve than traditional responses because the generating AI consumes more computing resources.

The Financial Times reported in April that Google was considering charging for its premium search features powered by generative AI, in what would be the biggest change to the company's business model ever.

For OpenAI, a major challenge with AI-generated search so far is that chatbots like ChatGPT tend to give inaccurate responses and hallucinate facts, figures and references.

This is because chatbots are based on highly complex models that are trained to predict language patterns, rather than simply crawling, indexing, and displaying information on the web like a traditional search engine.

Google's AI-powered summaries have faced similar problems: When they first rolled out to US search results, they told users that eating rocks was good for their health, advised people to put cheese on their pizza and described former US President Barack Obama as a Muslim.

OpenAI says SearchGPT will instead provide up-to-date information from the web, with clear links to relevant sources. The new search tool will also be able to reach sites that have opted out of training OpenAI-generated AI tools, such as ChatGPT.

AI companies have stirred up controversy among news publishers, who have accused the tech companies of infringing copyright by scraping data from websites and quoting snippets of articles without attributing their sources.

The New York Times sued OpenAI and its main backer, Microsoft, last year for commercial purposes.[ing] OpenAI is seeking to protect it from large-scale copyright infringement, commercial exploitation, and misappropriation of The New York Times' intellectual property, but refutes the allegations.

Amid the dispute, the startup says it has established licensing relationships with several publishers and worked with their product teams to test and design search tools.

[OpenAI] “Media instinctively understands that for AI-powered search to be effective, it must be based on the highest quality, most reliable information from trusted sources,” News Corp chief executive Robert Thomson said.

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