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OpenAI has finally entered the search field, testing the new AI search engine SearchGPT and challenging the market position of industry leader Google and AI search newcomer Perplexity.
On July 25th local time, OpenAI launched a temporary prototype of its AI search function, SearchGPT, but it is still in the testing phase and will be directly integrated into ChatGPT thereafter. At present, SearchGPT is only available to a small group of users and publishers for feedback. OpenAI has opened a "waiting list" on its homepage for users to apply for a trial. An OpenAI spokesperson stated that there are only 10000 test users available.
According to OpenAI, SearchGPT is supported by the GPT-4 series models and combined with real-time information from the network to provide users with "fast and timely answers". OpenAI's demonstration video shows that when answering a question, SearchGPT also lists the source and link of the answer, and can ask follow-up questions in the same window without losing context, "just like talking to someone".
Recently, copyright disputes between AI companies and publishers have intensified. OpenAI emphasized in its announcement that it has established partnerships with multiple publishers and creators, including News Corporation, which owns The Wall Street Journal, The Times, and The Atlantic. OpenAI will help users establish connections with publishers by highlighting references and links in search results. OpenAI also mentioned allowing publishers to choose not to use their content for model training, but it can still appear in search results.
The new search product may have the potential to increase revenue for OpenAI. According to a report by Silicon Valley technology media The Information on July 24th local time, insiders revealed that OpenAI's operating costs this year may reach up to $8.5 billion, including model inference costs, training costs, and labor costs. Although its annual revenue is expected to reach $3.5-4.5 billion, it will still face a loss of $5 billion.
The report points out that OpenAI's planned launch of a search engine, intelligent agents for use on computers, and the next generation of big models to be released at the end of the year may bring business growth to the company and make up for its losses.
At present, the commercialization path of AI search is still unclear. Many products promote a search experience without advertising interference, distinguishing themselves from traditional search engines. AI search startups such as Perplexity typically rely on premium subscription services for profit. For OpenAI, millions of people have used the free version of ChatGPT, increasing computational costs without generating revenue. Finding a profitable way for SearchGPT will be the next challenge.
The rumor that OpenAI will release a search engine has been circulating for several months. Multiple media outlets reported in May that OpenAI is developing a search engine and plans to release it on the day before Google's annual I/O developer conference. But later, OpenAI CEO Sam Altman denied the claim that a search engine or GPT-5 would be released. At the press conference on May 14th, its new multimodal large model GPT-4o was unveiled.
For a long time, Google has held the dominant position in the global search engine field. According to Statcounter, an Internet statistics agency, as of June, Google had 91.1% of the search market share. After OpenAI announced the launch of SearchGPT, the stock price of Google's parent company Alphabet fell nearly 3%, closing at $169.16 per share. Previously, Google's financial report also showed that its advertising revenue growth is slowing down.
The competition in the AI search arena will become increasingly fierce after OpenAI joins. Google had previously taken the lead in introducing AI into search engines and launched the "AI Overviews" overview feature. Despite being criticized for generating low-quality answers, Google stated during its quarterly earnings call on Tuesday that it will definitely expand its scale this year.
OpenAI's largest investor, Microsoft, also integrated ChatGPT into its search engine Bing. On July 24th, Microsoft Bing announced an invitation for some users to test AI functionality in search results.
Perplexity, an AI search engine startup, is one of the most closely watched AI companies in the industry, highly praised by big shots such as Huang Renxun. In April, it was rumored to be in the process of raising at least $250 million in funding, pushing the company's valuation to $2.5 billion to $3 billion. But Perplexity is currently facing several infringement allegations, from Forbes and magazine giant Cond é Nast, accusing Perplexity of using its published content without permission.
In China, AI search has also become a battleground for big model companies. ByteDance's AI assistant Doubao and Kimi, the dark side of the AI unicorn moon, have successively launched lightweight browser plug-ins to provide users with intelligent search services. In May, Sogou founder Wang Xiaochuan's AI startup company Baichuan Intelligence also released its first AI assistant "Baixiaoying", which focuses on "understanding search". Major companies such as Baidu and Tencent are also present, placing their bets on AI search on intelligent agents and WeChat ecosystems respectively.
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