Google's project "Magi": What do we know so far

Google's core business lies in advertisements through its search engine, Google Search. The business has been threatened since OpenAI, a San Francisco based AI firm, launched ChatGPT. It became even more dangerous when Microsoft entered the game and launched "Bing Chat".

According to The New York Times report, Google has been working on a new AI-powered search engine, "Magi," to compete with Bing Chat. Let's see what we know so far in today's blog.

Why is Google under threat?

Google's primary source of revenue is showing ads through its search engine. The search business was worth $162 billion last year. However, it was threatened when Microsoft revealed "Bing Chat", an A.I.-powered chatbot accompanying Bing. According to SimilarWeb, Bing.com saw 25.29% more total visits last month.

Another news that directly threatened Google is Samsung's consideration of replacing Google with Bing as its default search engine on its devices. Google earns approximately $3 billion in annual revenue with its partnership with Samsung. Another contract with Apple worth $20 billion is up for renewal this year.

Microsoft's Bing Chat, the increasing popularity of ChatGPT, and Samsung's consideration of replacing its search engine are the main reasons why Google might feel threatened and took quick actions against it.

Project "Magi": What do we know so far?

Project Magi is different from "Bard", its AI powered chatbot that was supposed to compete with ChatGPT. The New York Times report says that some of the features from Magi would make their way into the main Google Search.

Lara Levin, a Google spokeswoman, informed the New York Times that the company was continuously improving its search engine to give more reasons for users and partners to choose Google over other search engines. The spokeswoman said, "[Magi] would offer users a far more personalized experience than the company's current service, attempting to anticipate users' needs," Lara also stated, "Not every brainstorm deck or product idea leads to a launch, but as we've said before, we're excited about bringing new A.I.-powered features to search and will share more details soon."

Magi would learn what users want to know based on their previous history. It would also be more conversational than current search engines. Also, it would offer lists of preselected options for objects to buy, information to research, and other information.

The main search engine is very unlikely to undergo rebuilding. Instead, developers will introduce Magi's features to the existing search engine. More than 160 people are working on this project, as per the report.

Magi would keep ads in the mix of search results. Search queries that could lead to a financial transaction, such as buying shoes or booking a flight, still feature ads on their results pages. That's important for Google since search ads are how it makes money. Its chatbot, Bard, does not feature ads, and there has been anticipation in the tech industry that AI answers on search engines could make ads less relevant to users.

Magi could also help software developers in programming based on queries. According to a document, Google may place an ad under the computer code answers.

When will it be available?

Google invited some of its employees to test Magi. The company has encouraged them to judge its ability to hold a conversation by asking follow-up questions. It is expected to launch in public next month.

The company plans to release Magi to one million users initially. The number would eventually increase to 30 million at the end of the year. The report said it would be exclusively available in the United States.

Closing notes

Google can not survive long if it eliminates ads from its search engine. Integrating AI tools and services in its search engine while keeping ads on the web page is a complex problem for Google to solve.

We need to keep an eye on any updates from Google and check its search engine to see if the company is secretly testing any feature. We must also be updated about Google I/O 2023, as Google reveals its feature every year.