AI Browsers Challenge Chrome's Search Dominance

Two of the leading artificial intelligence companies are challenging Google Chrome's dominance in internet browsing. Their goal is to disrupt the $300 billion search advertising industry, but this shift may reduce publisher revenue and introduce new questions about reliability and trust. OpenAI and Perplexity are both building AI-first browsers that aim to deliver answers and complete tasks for users without directing them to traditional websites.

For more than ten years, Chrome has been the primary browser for many internet users. It holds about 68% of the global market and directly connects to Google Search, which generated $198 billion for Alphabet in 2024. However, recent AI-driven competitors are now aiming to erode that dominance. Perplexity’s new browser, Comet, is designed to shift users from passive searching to active problem-solving. At the same time, OpenAI is said to be developing its own browser, setting the stage for a major transformation in how people navigate the web.

Comet, priced at around $305 (USD $200) per month, is based on Chromium, which is Google's open-source browser framework. However, it adds much more functionality. The browser can summarise web content, generate travel plans on maps and interact with platforms like YouTube or Reddit on the user's behalf. Some early users have already tested it for tasks such as planning walking routes in London or turning Reddit threads into simplified summaries without opening individual pages.

A larger concern is what might happen if AI browsers become widely adopted. If users stop visiting websites to get answers, publishers may see fewer ad views and a drop in revenue. Some industry observers say this shift could severely affect how online content is funded, particularly if traditional traffic measures like “clicks” lose importance. In May, Perplexity handled 780 million search queries, a notable figure that still falls far short of Google's five trillion annual searches.

Despite their promise, AI search tools still have limitations. Some users have reported mistakes when AI agents attempted tasks like booking appointments, and experts warn that these tools are not yet reliable for high-stakes decisions. Still, companies like Salesforce and SafetyCulture are already integrating similar features into their products, which suggests a gradual shift in how organisations use search and automation. Google is also making changes, quietly experimenting with AI-generated summaries and new user options through its Gemini platform.

AI browsers such as Comet mark one of the first serious attempts to draw users and their data away from Google's ecosystem. Widespread adoption may depend on how these tools perform at scale and whether they offer a better experience than traditional search methods. For now, Chrome remains dominant, but early developments in this emerging "AI browser war" indicate that change may be on the horizon.

Source: Australian Financial Review, Euronews, Search Engine Journal

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