Google I/O is always a big time for the company. Here, Google announces new developer tools, showcases experimental technology, and previews upcoming products. But this year’s conference is set to attract more attention than usual thanks to the excitement around generative AI, or artificial intelligence algorithms that can create content from text messages.
“This year, with the explosion of generative AI, there will be far more attention on Google than anyone else,” said Avi Greengart, president and principal analyst at Techsponential.
Google and Microsoft have been vying for dominance in the generative AI space ever since ChatGPT sparked interest from investors, the general public, and the tech industry in late 2022. This competition could be seen throughout 2023 as that both companies have launched new AI-based features and products.
Google reportedly released a “Code Red” within the company in December following the success of ChatGPT, according to The New York Times. The Google I/O, which will take place on May 10, would be a great opportunity for the company to show what the efforts were behind this “Code Red” crisis.
The rivalry between Google and Microsoft
It’s rare for a company other than Google to make headlines for its search engine. But that’s exactly what happened in 2023, when Microsoft announced new AI-powered features for Bing. As part of the so-called Bing revival, Microsoft integrated the technology behind ChatGPT to provide more conversational answers to questions.
It was the first in a series of AI-related updates from Microsoft this year. The Windows maker is also rolling out AI-powered features in Word and the rest of its Office 365 productivity suite. An AI tool was also launched to help cybersecurity professionals identify and combat potential threats. Microsoft’s investment in OpenAI, the company behind ChatGPT, also gave the company an early advantage in the AI race.
But Google has also had plenty of AI-related announcements to make so far in 2023. The company introduced its ChatGPT rival, Bard, in February around the same time Microsoft announced the new Bing. Google also opened up Bard more widely in late March, allowing people in the US and UK to sign up to try it out. It wasn’t long before Google extended its AI push to its productivity apps as well. It unveiled new AI-powered writing and organization tools for Gmail and Google Docs in March, and we’ll likely hear more at I/O.
Now, according to the New York Times, Google is building a brand new AI-powered search engine. The new search engine would be more conversational, offering lists of suggestions based on what it thinks a user wants to buy or research, the report said. Google CEO Sundar Pichai also told The Wall Street Journal that he plans to add more AI to Google Search.
If the New York Times report is accurate, we’ll likely hear more about these efforts at Google I/O. Historically, Google has used I/O to showcase its AI capabilities and showcase new technologies, even those that aren’t ready for prime time. Last year, for example, experimental augmented reality glasses were presented that allow real-time language translation. Google I/O was also the launch location for Duplex, the company’s AI phone call assistant.
Google’s history of AI-related announcements at I/O, coupled with its continued competition from Microsoft, likely fueled expectations that big announcements are on the way for this year’s conference.
This is crucial if Google wants to target enterprise customers, says Chirag Dekate, analyst at Gartner, an analyst specializing in AI. According to Dekate, Microsoft has so far shown better than Google how useful generative AI can be for its products.
“I think [Microsoft] has certainly captured the imagination of business leaders,” he said. “I think they’ve given companies even more reason to look at Microsoft’s portfolio specifically for generative AI than ever before.”
Why the AI race is so important right now
Companies like Microsoft and Google are turning to generative AI because it’s seen as the future of how we work and search for information online – two areas Microsoft and Google, respectively, have built their businesses on. .
If the fact that giants like Microsoft, Google, Meta, Snap, and Amazon are all focusing on generative AI in one way or another isn’t compelling enough, venture capitalists are also pouring in tons money in space. According to PitchBook, a website that provides data on global financial markets, generative AI-related transactions generated around $1.7 billion in the first quarter of 2023.
Artificial intelligence has also come up frequently in recent earnings calls from Microsoft and Google parent Alphabet, further suggesting that the technology will play an important role in their future product roadmaps.
If Google misses the generative AI boom, it may not be able to catch up, Dekate said. And that could have serious consequences for Google’s business. Samsung has reportedly considered replacing Google with Bing as the default search engine on its devices, according to The New York Times. According to the report, this would jeopardize approximately $3 billion in annual revenue for Google.
“These moments are few and far between,” Dekate said. “And now’s the time for Google to shine if they want to.”
