The influence of artificial intelligence (AI) and its different applications, such as Generative AI, seems to impact different sectors. With multinational companies’ entrance into the AI landscape, it’s seemingly become evident that the market will grow in upcoming years. In May, 2023, Google, a multinational technology company, unveiled its AI-based Search experience for users and on August 31, 2023, the company made it available for countries such as India and Japan. “After ChatGPT, I believe AI has been integrated into mainstream platforms and services, to enhance user experience and generate outcomes. In my opinion, India has been suave in adopting AI with its startup community taking a role in embracing it,” Rajagopal Menon, vice-president, WazirX, a cryptocurrency exchange, told FE TransformX.
What, and what lies ahead?
According to Google Blog, its Generative AI in Search feature enables users to grasp a topic, along with discovering new viewpoints and insights. The company also mentioned that this feature benefits shopping experiences, which is backed by Google’s Shopping Graph. “In fact, every hour, more than 1.8 billion listings are refreshed in our Shopping Graph to give people fresh, reliable results,” the blog wrote.. In recent context, the website stated that with the Generative AI in Search feature, which has been unveiled in India and Japan, this experience will allow users to find web pages supported by AI-powered overviews, with emphasis on Search Generative Experience (SGE).
From what it’s understood, Generative AI’s impact on search engines can provide benefits such as increase in productivity from content creation, development of link-construction capabilities, among others. Based on market research, effects of Generative AI on Search Engine Optimisation (SEO) are ChatGPT helping businesses to develop content better than traditional processes, along with emphasis transferred from keyword-oriented optimisation to semantic search mechanisms. It’s believed that Google’s SGE helps utilise AI applications to provide users with updated data, which can help corporations broaden their content programmes. “Google’s integration of Generative AI into Search for India and Japan has the potential to catalyse innovation, expand AI adoption globally, and enhance user experiences. Given India’s user base, this initiative could enable Google to enhance its AI models and generate improved user experience recommendations,” Edul Patel, co-founder and CEO, Mudrex, a crypto investing platform, said.
However, questions have been raised on whether Generative AI’s impact on search engines will affect the quality of organic traffic or not. Reportedly, post Google’s initiation of Bard, an AI assistant, the company met with a downfall worth seven percent in its stock value. Sources suggest that the development triggered uncertainties, as the majority part of its total revenue comes from advertising business fuelled by search results. On December 2, 2022, Paul Buchheit, creator, Gmail, an email service provider, predicted that Google’s chief business structure will be impacted by ChatGPT within two years.
Market expectations and numbers
Allied Market Research, a market research firm, stated that the global Generative AI market will clock $191.8 billion by 2032, at a 34.1% compound annual growth rate (CAGR) between 2023-32. In terms of market occupancy, North America held the highest market percentage in 2022, on account of increase in need for pre-training models for mass data amounts. Data from market reports have shown that Asia-Pacific should be the highest-growing region during the mentioned timeline. Apart from Google, other companies which are believed will develop the global Generative AI market are Microsoft Corporation, IBM Corporation, Amazon Web Services, Adobe, Synthesia, among others.
Data published by Statista, a business intelligence firm, showed that amidst the week, which started on February 12, 2023, Generative AI secured a popularity score worth 100 index points. Market experts correlated the development with ChatGPT’s introduction, which was analysed during the time period of February 27, 2022, and February 12, 2023.
It is indicated that in the future, Generative AI will continue to add updates to the SEO environment. Going by a corporate perspective, Generative AI should help businesses shape their website to cater to the needs of search engines. Moreover, the influence of digital assistants, such as Alexa, Google Assistant, Siri, among others, should help firms match their content with voice modulations. Overall, a Generative AI-backed search engine can help find human-based trends, for entities to improvise with changing times. “These developments indicate that AI will continue to become integral to how we access information. This should foreshadow AI’s role in transforming industries beyond search, such as healthcare, research, education, finance, and entertainment,” Koneru Lakshman Havish, vice-president, KL Deemed to be University, an educational institution, concluded.
