Websites Lose Traffic, Ads, And Revenue As ChatGPT And Other AI Tools Reshape How We Find Information Online
As companies keep on advancing in the field of AI and pushing further in the application and widespread usage of the technology, we see a change or transition in the making of the entire internal economy, given how the old business models seem to slowly start fading, and websites that are more dependent on Google for their traffic seem to be struggling as companies with AI tools seem to be gaining more momentum. Now, a recent article sheds more light on the rise of AI and the changing dynamics of the internet.
A core part of the internet economy is at risk, as AI seems to be reshaping how search works
With the AI frenzy not going away any time soon, the tech community is noticing a major shift in how the internet works, potentially impacting millions of businesses and jobs. This is because previously, Google Search was relied on heavily by companies to bring traffic to their websites. Now, with tools such as ChatGPT or even Perplexity in the picture, many people have started relying on these platforms to get answers, reducing the need to click on links or go to websites.
As Barron’s article recently pointed out, Google Search is slowly starting to fade, as people have started using AI tools more frequently or even benefiting from summaries that are shown in Google directly, called the AI overviews, without clicking on any links. As a result, many websites that were heavily dependent on Google for traffic have lost visitors. This includes travel sites majorly, informative sites, and even news outlets. As a result of losing traffic, many companies are not making as much money and sometimes laying off jobs.
The reason why this is vital is due to the potential change that might be underway where companies replace old business models and resort instead to more AI tools or even charge for content as AI is determined to become the new homepage of the internet. Google itself might not suffer since it is also investing heavily in AI tools, but the sites that depend on Google traffic seem to bear the brunt of this.
With the internet evolving and people relying on AI tools and not pages for getting answers to their queries, companies need to act more promptly in order to adapt to the changing dynamics and either create their own AI tools, partner with existing AI companies or even look into ways to diversify their income. As the internet seems to be changing rapidly, so should the companies in order to remain agile.
