A big dynamic in this is that the business models for two of the biggest players are at stake.
Google is facing a significant danger that its search advertising business is going to just disappear. If people are using AI to find stuff or get recommendations then then aren't using google. Why should a photographer continue to spend $200 a month on ads when their clients are coming from openAI? Especially when OpenAI is using the organic search results. Meta is facing the same sort of issue, if the eyeballs aren't on insta then the ad $$$ go somewhere else.
So if they have money, and can get money, they will invest it to protect their businesses - all of it.
MS and VC's are doing the opposite, they are investing with the idea of taking the attention that Google and Meta currently have, but they are also following the "I'm scared" signal that Google and Meta have put in the market.
Every major consumer facing AI player (besides Anthropic and Apple) is incorporating advertisements into their product currently, or exploring how to, to include OpenAI.
So I’m not as optimistic that Google’s business of advertising is in danger, instead it’s just transforming.
Google is facing a significant danger that its search advertising business is going to just disappear. If people are using AI to find stuff or get recommendations then then aren't using google. Why should a photographer continue to spend $200 a month on ads when their clients are coming from openAI? Especially when OpenAI is using the organic search results. Meta is facing the same sort of issue, if the eyeballs aren't on insta then the ad $$$ go somewhere else.
So if they have money, and can get money, they will invest it to protect their businesses - all of it.
MS and VC's are doing the opposite, they are investing with the idea of taking the attention that Google and Meta currently have, but they are also following the "I'm scared" signal that Google and Meta have put in the market.