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Google Ramps up Search with AI Mode Amid Competition Concerns

  • Google launched a new AI Mode in its search engine on May 20, 2025, making it available to all U.S. Users as announced at Google I/O in Mountain View, California.
  • This launch follows the 2023 debut of AI Overviews, reflecting Google's effort to keep pace with competitors like OpenAI's ChatGPT integrating search features.
  • AI Mode offers advanced reasoning and multi-modality to enable deeper exploration, while ads appear integrated in responses to support Google's ad-driven revenue model.
  • In Q1 2025, Google reported ad revenues totaling nearly $67 billion and revealed that AI Overviews now serve over 1.5 billion users. Additionally, the company launched a premium AI Ultra subscription priced at $250 per month, offering enhanced AI capabilities.
  • The integration of AI marks a major shift amid regulatory scrutiny over Google's search monopoly and investor concerns about AI's impact on advertising revenue.
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Insider Paper broke the news in on Tuesday, May 20, 2025.
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