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Google launched real-time search capabilities for its Gemini AI platform on Thursday, enabling its language models to access current information from Google Search. The new feature, called “Grounding with Google Search,” targets developers building AI applications, distinguishing it from OpenAI’s consumer-focused ChatGPT Search service launched the same day.
“We’re focused on putting search-augmented responses into developer workflows,” said Logan Kilpatrick, a product leader at Google, in an exclusive interview with VentureBeat. “We’re leveraging what Google does uniquely well — making the world’s information accessible through search.”
Say hello to Grounding with Google Search, available in the Gemini API + Google AI Studio!
You can now access real time, fresh, up to date information from Google Search when building with Gemini by enabling the Grounding tool.https://t.co/oGVTOKHfM8
— Logan Kilpatrick (@OfficialLoganK) October 31, 2024
The system allows developers to supplement their AI applications with fresh search data, complete with citations and sources. The service costs $35 per 1,000 queries, reflecting the substantial computing requirements for real-time AI search.
The technology uses a “dynamic retrieval” system that automatically determines when to tap into search results. Each query receives a score between 0 and 1 — questions about current events score high (0.97), while creative writing prompts score low (0.13). This helps manage both costs and response times while maintaining accuracy.
Inside the $49 billion battle for the future of search
Google’s move to integrate search with its AI platform comes at a critical moment. The company earned $49.4 billion from search advertising in Q3 2024, but faces growing pressure from AI-powered alternatives. Running these systems requires massive computing resources — OpenAI expects to spend $5 billion on computing costs this year alone.
The integration also raises questions about publisher compensation. Both Google and OpenAI have secured licensing deals with major news organizations, though the financial terms remain private. Several publishers, including The New York Times, have filed lawsuits over AI systems using their content without permission.
Why OpenAI’s new ChatGPT Search could change how we find information online
Hours after Google’s announcement, OpenAI launched ChatGPT Search, taking a different approach by targeting consumers directly. While Google focuses on providing tools for developers to build search-enhanced AI applications, OpenAI’s service offers end users a way to access current information about news, sports, stocks, and weather through a conversational interface – notably without advertisements.
“The journey we’re on is using Google Search in more creative ways, through multiple surfaces,” said Shrestha Basu Mallick, Google’s group product manager for the Gemini API, in an interview with VentureBeat. “You’ll have it through AI Studio, the Gemini APIs, and it may eventually become native in the model itself.”
This new phase of competition could reshape how people find information online. Rather than scrolling through pages of results, users may increasingly rely on AI systems to synthesize answers from multiple sources. However, questions remain about accuracy, publisher compensation, and whether companies can build sustainable business models around these computing-intensive services.
The simultaneous launches suggest AI-powered search may evolve into a three-way race between Google, Microsoft (through its OpenAI partnership), and OpenAI itself.
Google maintains advantages in search infrastructure and advertising revenue, while OpenAI has demonstrated skill in creating compelling consumer AI products. Microsoft, meanwhile, benefits from both through its multibillion-dollar OpenAI investment.