APPLE $AAPL JUST SAID SEARCHES IN ITS SAFARI BROWSER DECLINED FOR THE FIRST TIME IN APRIL – Bloomberg pic.twitter.com/6Vb3hjVbUf
— Evan (@StockMKTNewz) May 7, 2025
Apple has confirmed that searches in its Safari browser declined for the first time in April, marking a historic shift in user behavior. The revelation came from Eddy Cue, Apple’s senior vice president of services, who testified in a federal court in Washington during the Justice Department’s antitrust lawsuit against Google.
Cue attributed the drop in Safari searches to the rise of AI-powered search engines, stating that users are increasingly relying on artificial intelligence tools like OpenAI, Perplexity, and Anthropic instead of traditional search engines. This shift signals a major disruption in the search industry, with Google facing its most serious challenge in decades.
Alphabet shares plummeted more than 7%, wiping out over $150 billion in market value, as investors reacted to Apple’s announcement. The decline underscores growing concerns that Google’s dominance in search is eroding, with AI alternatives gaining traction.
Apple is actively exploring AI-driven search options for Safari, potentially replacing Google as the default search engine on its devices. The company has already integrated ChatGPT into Siri, and discussions are underway to add Perplexity AI and Anthropic as search alternatives. While Google remains the default for now, Cue’s testimony suggests that AI search engines will eventually replace traditional search models.
The Justice Department’s lawsuit against Alphabet focuses on Google’s practice of paying platform providers like Apple to maintain its default search position. The agreement, worth an estimated $20 billion annually, has been a cornerstone of Google’s advertising empire. If the court rules against Google, the company could lose its exclusive placement on Apple devices, further accelerating the shift toward AI-powered search.
Google has responded by introducing AI-driven features in its search engine, including AI Overviews, which generate responses based on user queries. Despite these efforts, Apple’s move toward AI search suggests that Google’s grip on the industry is weakening.
The battle for search dominance is entering a new phase. With Apple signaling a shift toward AI-powered alternatives, Google faces an uncertain future. The next few months will determine whether AI search engines can fully replace traditional models or if Google can adapt to the changing landscape.
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