Apple is actively researching a revamp of its Safari web browser to focus on AI-driven search services. This move considers the potential end of its collaboration with Google and broader industry changes. Eddy Cue, Apple's Senior Vice President, revealed this during his testimony in the U.S. Department of Justice's lawsuit against Alphabet. The lawsuit centers around the annual $20 billion deal that makes Google the default search engine on Apple devices.
Cue highlighted a decline in Safari searches last month, attributing it to users shifting towards AI tools. He anticipates AI search providers like OpenAI, Perplexity AI Inc., and Anthropic PBC to gradually replace traditional search engines like Google. Cue mentioned that Apple plans to incorporate these AI search options into Safari, although they might not become the default choice immediately.
Apple has had discussions with Perplexity regarding these developments. Cue noted that before AI, alternative search options were deemed unreliable, but the current landscape is more promising with new entrants tackling the issue differently. On the day of the testimony, Alphabet's stock dropped by 8.7%, affecting the broader market, while Apple's shares fell by 2.7% following Cue's remarks.
