In a recent article “Dear Google: You’re Screwed”, I predicted that AI technology will disrupt the search industry, reducing the value of Google's ad business by delivering more accurate and tailored responses to user queries, making search-based ads less necessary. But only a couple of days after publishing the article, Google gave a hint of how it's going to counter Microsoft and ChatGPT's lead - it's going to use your personal data.

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Microsoft's Edge with ChatGPT: A Headstart in AI-Powered Search

Microsoft has a headstart in the AI-powered search race due to its tight relationship with ChatGPT. However, Google has a significant advantage in proprietary data through people's use of Gmail and all the Google login services. Websites that give users the option to login using their Google account provide the company with detailed information about individuals.

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Google's Plan to Use Personal Data for AI-Powered Search

If Google can find a way to use this data without triggering people's privacy concerns, they will be much better able to use AI to generate more appropriate answers. By knowing a user's preferences, such as a tendency to prefer summarized information or environmental sensitivity, Google can make its first search result far more accurate than those generated by ChatGPT.

Google has already begun surveying users on how much utility they think they get from their search results by being signed in to Google, indicating that the company is looking to use personal data to enhance its search capabilities.

 

Privacy Concerns and the Future of AI-Powered Search

Younger generations have become increasingly comfortable trusting their data to the cloud and large companies, but this feels like an even bigger leap. Google will have to tread carefully and find a way to use this data without violating people's privacy. It's a big if, but if people will give that permission to Google, it might be enough for it to maintain its advantage in what’s going to be the most epic tech battle we’ve seen in decades.