Report: Google May Move AI Features to Paid Plan
If this report by the BBC is true, then it seems that Google is looking to overhaul its business model and put some AI features behind a paywall. If it does go live, can affect the billions of users that the company services globally.
This initiative, part of Alphabet Inc.’s strategic pivot, marks a significant departure from Google’s tradition of offering free content/products with a slight push to upsell as users scale usage. A move that could now signal a potential reshaping of its business framework. Though Google has stated that there is nothing to announce, “Right now“.
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Users have access to Gemini, Google’s AI assistant akin to the popular ChatGPT through desktop search. There are also AI features deploying on Google Docs, and other parts of the company’s suite. So this move could signal that they view that users are ready to pay for premium features as another tier.
The Financial Times reveals that internal discussions are ongoing, with Google engineers actively developing the necessary infrastructure to support such a service. But not everything has gone smoothly for the company.
Last month, it had to recover and save face for Gemini’s blunder that quickly became a meme online. The company faced criticism when Gemini inaccurately generated and disseminated images, prompting a temporary suspension of the service.
Though despite these setbacks, Google remains a dominant force in the digital search arena, commanding over 90% of the desktop search market, according to StatCounter. But with that said, Google states that its core search engine services will remain complimentary, continuing to display advertisements alongside search results.
With advertising revenues forming the backbone of its financial success, Google’s potential pivot towards a subscription-based model for premium AI content could reverberate across the internet with others following suit.
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Alphabet Inc, Google’s parent company, boasts a 2023 valuation of $1.6 trillion. But it’s not just about valuation. The company has several partnerships, teams, and divisions pushing research into AI and other areas to its limits.
Where it will go, is anyone’s guess. But it seems that the Netflix effect may have finally come to Google if it goes through with a subscription model.
Originally posted on OpenDataScience.com
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