OpenAI to launch AI-powered browser to rival Google Chrome
What's the story
OpenAI, the artificial intelligence research lab led by Sam Altman, is gearing up to launch a new AI-powered web browser. The move is seen as a direct challenge to Google's market-leading Chrome. The new browser is expected to be launched in the coming weeks and could change how users interact with the internet. It would also give OpenAI direct access to user data, a key component of Google's ad business.
Market impact
How an AI browser could impact Google's ad business
If adopted by ChatGPT's 400 million weekly active users, OpenAI's browser could significantly impact Google's advertising revenue. Chrome plays a vital role in Google parent Alphabet's ad business, which accounts for nearly three-quarters of its revenue. The browser collects user data to help Alphabet target ads more effectively and profitably. It also directs search traffic to Google's own engine by default.
Technological integration
Browser built on Chromium
The new browser from OpenAI is built on Chromium, Google's open-source browser code. It will allow the company to directly integrate its AI agent products into the browsing experience. This way, the browser could perform tasks on behalf of users within a ChatGPT-like native chat interface instead of redirecting them to other websites.
Future prospects
Focus on AI agents
The new browser from OpenAI could be an ideal platform for AI "agents" that can perform tasks on behalf of users, such as making reservations or filling out forms. This would happen directly within the websites they use. The move is part of a broader strategy by OpenAI to integrate its services into the personal and work lives of consumers.
Market challenge
Competition from other players
Despite the potential of its new browser, OpenAI will have to compete with the dominance of Chrome, which has over three billion users and controls more than two-thirds of the global browser market. Other AI start-ups such as The Browser Company and Brave have also launched AI-powered browsers this year. Perplexity, a well-funded start-up known for its search engine, also launched its AI browser Comet on Wednesday.