
Google's unleashes 'AI Mode' in the next phase of its journey to change search
on Tuesday unleashed another wave of artificial intelligence technology to accelerate a year-long makeover of its search engine that is changing the way people get information and curtailing the flow of internet traffic to websites.
The next phase outlined at Google's annual developers conference includes releasing a new "AI mode" option in the United States. The feature makes interacting with Google's search engine more like having a conversation with an expert capable of answering questions on just about any topic imaginable.
AI mode is being offered to all comers in the U.S. just two-and-a-half-months after the company began testing with a limited Labs division audience.
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Google is also feeding its latest AI model, Gemini 2.5, into its search algorithms and will soon begin testing other AI features, such as the ability to automatically buy concert tickets and conduct searches through live video feeds.
In another example of Google's all-in approach to AI, the company revealed it is planning to leverage the technology to re-enter the smart glasses market with a new pair of Android XR-powered spectacles. The preview of the forthcoming device, which includes a hands-free camera and a voice-powered AI assistant, comes 13 years after the debut of "Google Glass," a product that the company scrapped after a public backlash over privacy concerns.
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Google didn't say when its Android XR glasses will be available or how much they will cost, but disclosed they will be designed in partnership with Gentle Monster and Warby Parker. The glasses will compete against a similar product already on the market from Facebook parent Meta Platforms and Ray-Ban.
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AI's big role in Google search The expansion builds upon a transformation that Google began a year ago with the introduction of conversational summaries called "AI overviews" that have been increasingly appearing at the top of its results page and eclipsing its traditional rankings of web links.
About 1.5 billion people now regularly engage with "AI overviews," according to Google, and most users are now entering longer and more complex queries.
"What all this progress means is that we are in a new phase of the AI platform shift, where decades of research are now becoming reality for people all over the world," Google CEO Sundar Pichai said before a packed crowd in an amphitheater near the company's Mountain View, California, headquarters.
AI ripples across the internet Although Pichai and other Google executives predicted AI overviews would trigger more searches and ultimately more clicks to other sites, it hasn't worked out that way so far, according to the findings of search optimization firm
BrightEdge
.
Clickthrough rates from Google's search results have declined by nearly 30% during the past year, according to BrightEdge's recently released study, which attributed the decrease to people becoming increasingly satisfied with AI overviews.
The decision to make AI mode broadly available after a relatively short test period reflects Google's confidence that the technology won't habitually spew misinformation that tarnishes its brand's reputation, and acknowledges the growing competition from other AI-powered search options from the likes of ChatGPT and Perplexity.
Will AI undercut or empower Google? The rapid rise of AI alternatives emerged as a recurring theme in legal proceedings that could force Google to dismantle parts of its internet empire after a federal judge last year declared its search engine to be an illegal monopoly.
In testimony during a trial earlier this month, longtime
Apple
executive Eddy Cue said Google searches done through the
iPhone
maker's Safari browser have been declining because more people are leaning on AI-powered alternatives.
And Google has cited the upheaval being caused by AI's rise as one of the main reasons that it should only be required to make relatively minor changes to the way it operates its search engine because technology already is changing the competitive landscape.
But Google's reliance on more AI so far appears to be enabling its search engine to maintain its mantle as the internet's main gateway - a position that's main reason its corporate parent, Alphabet Inc., boasts a market value of $2 trillion.
During the year ending in March, Google received 136 billion monthly visits, 34 times more than ChatGPT's average of 4 billion monthly visits, according to data compiled by onelittleweb.com.
Even Google's own AI mode acknowledged that the company's search engine seems unlikely to be significantly hurt by the shift to AI technology when a reporter from The Associated Press asked whether its introduction would make the company even more powerful.
"Yes, it is highly likely that Google's AI mode will make Google more powerful, particularly in the realm of information access and online influence," the AI mode responded. The feature also warns that web publishers should be concerned about AI mode reducing the traffic they get from search results.
Even more AI waiting in the wings Google's upcoming tests in its Labs division foreshadow the next wave of AI technology likely to be made available to the masses.
Besides using its
Project Mariner
technology to test the ability of an AI agent to buy tickets and book restaurant reservations, Google will also experiment with searches done through live video and an opt-in option to give its AI technology access to people's Gmail and other Google apps so it can learn more about a user's tastes and habits. Other features on this summer's test list include a "Deep Search" option that will use AI to dig even deeper into complex topics and another tool that will produce graphical presentations of sports and finance data.
Google is also introducing its equivalent of a VIP pass to all its AI technology with an "Ultra" subscription package that will cost $250 per month and include 30 terabytes of storage, too. That's a big step beyond Google's previous top-of-the-line package, which is now called "AI "Pro," that costs $20 per month and includes two terabytes of storage.
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Time of India
an hour ago
- Time of India
Are current market valuations hiding opportunities or risks? Christy Mathai explains
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Broadly some of those can come through because we are sitting at a lower base versus last year but from a normalised perspective, it is nothing so great. Explore courses from Top Institutes in Please select course: Select a Course Category healthcare Operations Management Cybersecurity MCA Healthcare Finance Product Management Degree Data Analytics Digital Marketing Data Science others Artificial Intelligence Technology PGDM Management Data Science CXO MBA Project Management Public Policy Others Leadership Design Thinking Skills you'll gain: Duration: 11 Months IIM Lucknow CERT-IIML Healthcare Management India Starts on undefined Get Details by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Join new Free to Play WWII MMO War Thunder War Thunder Play Now Undo Coming to the tariff issue , in the last few days, several deals have been done and it looks like the peak uncertainty with respect to tariffs is over even though the India part is not yet solved. So, at the current juncture, given where the valuations are, the market is looking at the earnings trend. If you were to look at some of the numbers that have come out, it seems to be a mixed bag. So, there is no certain acceleration in the company reported numbers. Looking short-term, it is very difficult to say as it is all a function of flows, possibly if the FIIs come back in a big way, we will see some rally, but it is very difficult to call out. But from a medium and long-term perspective, given where valuations are, it will be driven by the earnings trends and in its absence, there is a general expectation of earnings inching up. If that were not to come through, we would be in a state of consolidation for some time. What is your investment philosophy and what are the sectors currently on your radar? Your investment philosophy says that you buy stocks of companies that are at a minimum 25% discount from their intrinsic or fair value. Having said that, these opportunities come when the market, especially in the short term, is fixated and when there are disappointments. Looking at the current trajectory of the market, how are you placed in sectors or the companies that you are looking at, especially the midcaps and smallcaps ? Christy Mathai: Our philosophy is typically trying to buy underpriced companies. If 100 is supposed to be the intrinsic value, we would want to buy it at least 25% cheaper; that is our philosophy. In a way, we run a value style here. From that framework, if you were to look at the current juncture, not a lot of sectors fit into that bucket because many of those sectors are trading at fair or above fair in terms of valuations. Live Events You Might Also Like: Mark Matthews on why FTA with UK, US trade deal shouldn't matter much for India If we were to look at what should be a normalised earnings for a company two to three years out and, some of the sectors like IT, the current two-year, three-year earnings have been somewhere in the vicinity of mid-single digit. Do we think this is where the normalised earnings would be? 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We are not exposed much to the euphoric part of the markets –be it capital goods, defence, and so on and so forth, but we are trying to minimise the risk from that perspective. At any point in time, you should have that perfect asset allocation to help you navigate these markets. You Might Also Like: Keep investment goals in mind; focus on a five-year horizon for better results: Shiv Chanani Recently India-UK FTA has been signed. and I want to understand from you, will you be redrawing your strategies in the aftermath of this deal and more importantly you mentioned about the India-US trade deal as well which looks like round the corner, how do you view it? Christy Mathai: We just talked about the India-UK tariff deal, and so we just look from a market perspective. Some of the sectors get impacted, not really much, though it would be great from an economic standpoint that now some of the barriers are out of the way, but not much from a market perspective. If you were to look at the US tariffs now, our exports to the US is minuscule compared to the overall import basket. So, from that perspective, the few sectors which everybody knows and talks about are gems and jewelleries, pharma is a large sector from our vantage point, but we do not think there could be a major impact as there is always room for error because this is all policymaking. But given the generic nature, you are in a way trying to reduce the cost to the end consumer in the US. So, how much punitive action do you want to put in that sector? Some of the middlemen who are profiting quite a bit, would be exposed to some of these tariffs if there is more pricing action on that front. This is one sector that could be on the radar given the deal front and the whole IT services is indirectly impacted by this sector because the Fortune 500 companies of the world would possibly not be spending so much on it when the expectations are not very clear, where to invest, how to invest. 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Hans India
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AP fast emerging as best investment destination: CM
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Indian Express
5 hours ago
- Indian Express
India-US trade deal: Commerce Ministry advised against accepting ‘unilaterally framed obligation' on digital taxes
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The US has also raised concerns about digital services taxes with a number of trade partners, particularly the EU. 'The disproportionate capture of US firms by the EU's Digital Services Act (DSA) and Digital Markets Act (DMA) is also noted as undermining US competitiveness due to increased compliance costs not borne by EU competitors,' the USTR said. Differences between India and the US assume significance as New Delhi continues to face the risk of 26 per cent reciprocal tariffs. After Indian negotiators completed another round of discussions in Washington last week, a US team led by the US Trade Representative for South and Central Asia, Brendan Lynch, is expected to visit India in mid-August to continue negotiations for a trade agreement. While India and the US have agreed on a wide range of tariff lines, the negotiations — which currently only involve market access for goods — remain stuck over sensitive sectors such as agriculture and automobiles, which are key job creators in India. Ravi Dutta Mishra is a Principal Correspondent with The Indian Express, covering policy issues related to trade, commerce, and banking. He has over five years of experience and has previously worked with Mint, CNBC-TV18, and other news outlets. ... Read More