Google Clashes With Apple Over AI’s True Impact on Search Dominance

The tech world is watching closely as Google and Apple clash over AI’s effect on search traffic. Apple claims users are moving to AI tools instead of traditional search engines. Google disagrees, saying its search remains strong across devices. This dispute highlights how artificial intelligence might reshape how people find information online. The stakes are high for Google, which earns billions from search ads. The outcome could determine who controls the future of internet searches.

While Google has dominated search for decades, a historic shift may be underway. According to testimony from Apple‘s SVP Eddy Cue, Safari searches declined in April 2025 for the first time in Apple’s history. Apple directly blamed this drop on the rising popularity of AI alternatives.

Apple’s historic Safari search decline signals the first real challenge to Google’s decades-long search supremacy.

Google investors reacted quickly to this news. Alphabet stock fell over 7% on Wednesday, making it the biggest decliner in the S&P 500 that day. The company relies heavily on search, which accounts for more than half of its total revenue.

Google disputed Apple’s claims about AI cutting into search traffic. Their statement avoided mentioning “Safari” specifically. Instead, they referred to “total,” “devices,” and “platforms.” Analysts believe this suggests users might be shifting to other Google access points like the Chrome browser or Google app.

The timing is critical as Google pays Apple approximately $20 billion annually to remain Safari’s default search engine. This arrangement is now threatened by the U.S. Justice Department, which has proposed banning Google from paying for default status. Both companies’ shares experienced noticeable market declines following Cue’s testimony about changing search behaviors.

Apple is exploring AI-powered search alternatives from companies like OpenAI, Perplexity, and Anthropic. These potential integrations could provide iPhone users with new search options beyond Google’s traditional approach. Critics speculate that Cue’s testimony was strategically aimed at portraying Google as vulnerable in the competitive landscape.

The April 2025 data represents the first documented evidence of AI alternatives actually reducing traditional search volume. Since ChatGPT launched in 2022, analysts have speculated that AI chatbots could replace search engines as users’ preferred information source. Multimodal AI systems that integrate text and visual inputs are particularly effective at providing contextual understanding that traditional search engines lack.

D.A. Davidson analysts warned that losing exclusivity on Apple devices could have “very severe consequences for Google.” Estimates suggest 36% of Google’s search advertising revenue comes through the Safari browser.

As users discover they can get information through AI alternatives, the foundation of Google’s business model faces unprecedented challenges. The tech giant’s response to this emerging threat will likely determine whether it can maintain its long-held search dominance.