The transition of Apple to AI-driven search could pose a tough blow to Google.

Apple is exploring the possibility of incorporating artificial intelligence (AI)-based search technology into its Safari browser, which could pose a significant threat to Google’s current dominance in the online search arena. A recent report indicates that the company is "actively seeking" to transform Safari with a focus on AI-powered search engines. Currently, Google is the default search engine in Apple's browser, an arrangement that costs the Alphabet company around $20 billion annually, approximately equivalent to 36% of its search advertising revenue.

Any change by Apple in this collaboration could result in a substantial revenue decline for Google. Eddy Cue, a senior executive at Apple, mentioned that searches through Safari experienced their first decline last month, attributing this to a rise in the use of AI as the primary source for online queries. Cue anticipates that platforms like OpenAI and Perplexity AI could eventually replace traditional search engines. However, he also clarified that while they plan to integrate AI search options into Safari, these won't necessarily be the default standard.

Additionally, there are rumors that Apple is in talks with Google to add Gemini AI technology to its devices, which could be unveiled at the launch of the iPhone 17 during WWDC 2025 in June. The rise of startups like OpenAI and Perplexity signifies increased competition for giants like Google. It is also mentioned that ChatGPT could be integrated into Siri, resulting from a collaboration between OpenAI and Apple.

On the other hand, advertisers heavily rely on Google for their search advertising, as it holds nearly 90% of the market. Gil Luria, an analyst at D.A. Davidson, emphasized that if viable competitive alternatives to search emerged, many advertisers would be willing to redistribute their budgets to other platforms.

Apple is also celebrating the tenth anniversary of the Apple Watch, marking April 24 as World Close Your Rings Day. The company has announced that it will offer exclusive rewards to users who manage to close all their Activity rings on this special day. Those who achieve this goal will receive a limited-edition badge with gold edges and ten animated stickers for the Messages app.

The competition for user attention is not limited to internet searching; streaming platforms like Netflix are also evaluating the implementation of AI to enhance their recommendation systems. Meanwhile, Google is developing an AI-powered meme generator for its Gboard keyboard, offering users personalized options for meme creation.