ChatGPT integration in Bing only increased its market share by less than a percent, but it's a boon

Microsoft’s Bing search engine has seen a noticeable increase in user engagement and usage following the integration of generative AI tools like ChatGPT and DALL-E 3.

In the second quarter of 2023, US monthly active users more than doubled year over year to 3.1 million, and overall time spent on the platform climbed by 84%. The addition of DALL-E 3, an image generation model, further fueled this growth with a tenfold increase in usage.

Despite these positive developments, Google remains the undisputed leader in the search engine market, holding over 90% market share. This advantage is further strengthened by the “flywheel effect,” where the vast amount of search data Google collects allows it to continuously improve its search results. The endless loop?

Experts acknowledge the transformative potential of generative AI in search but caution that it’s unlikely to significantly impact Google’s position in the near future.

“We have advertisers telling us they’re getting better outcomes as a result of our AI efforts and are deeply interested in how this works” – Microsoft said

Bing’s underdog status, however, grants it greater flexibility to experiment with AI features, which has attracted interest from advertisers curious about the possibilities of AI-powered search advertising.

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