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š Apple turns to AI for Safari search
The strategic move has caused Alphabet stock to tumble in response.
Hi AI Futurists,
Big waves in search: Apple is looking into bringing AI engines like Perplexity into Safari and rethinking its $20B deal with Google. Letās unpack why search is shifting and what it means for the future of information.
Hereās our agenda.
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š Apple reshapes its AI strategy
Apple is getting ready to add AI search tools like Perplexity and Anthropic to Safari on iPhone, iPad, and Mac, a move that could chip away at Googleās dominance in default mobile search. In court testimony during the ongoing antitrust trial against Google, Apple SVP Eddy Cue said these AI tools āprobably wonāt be the default,ā but theyāll be offered as alternatives. That was enough to shake Wall Street as Alphabet's shares dropped 7.3%, wiping out $150 billion in market value.
Cue also dropped another bomb: for the first time ever, Safari search usage declined in April, as users turned to AI models to find answers. Thatās not great news for Apple either, which earns a reported $20 billion annually from its deal with Google. If search volume drops or the DOJ ends the Google-Apple arrangement, Appleās ad revenue cut goes down too. While Google responded that search queries overall are still growing, especially through features like Lens and voice, itās clear that the search business is entering unfamiliar territory. Google tried to emphasize growth from Apple devices, but the public focus shifted to how Appleās own AI tools may soon threaten Google's hold.
Apple is playing a long game: diversify AI partnerships, maintain leverage with Google, and prep its devices for a post-search world. As defaults shift and search behaviors evolve, the biggest impact may be on ad-driven business models and on how we discover, trust, and value information. Speed and relevance are quickly becoming more important than loyalty to established brands.
Takeaways at a glance
Apple will offer AI search tools like Perplexity and Anthropic in Safari
Google may lose its default search status on Apple devices
Apple earns ~$20B/year from its deal with Google
Safari search traffic declined for the first time ever in April
DOJ trial could disrupt Googleās ad/search dominance
Apple wants AI search tools to compete in general search with deep indexes
Google highlights growth in search via Lens and voice
Apple already uses ChatGPT for Siri under a no-revenue deal
What We Think About It:
This is a strategic shift by Apple to gain leverage over Google while keeping future AI options open. The Safari default may not change overnight, but Apple is clearly preparing for it. Weāre entering a phase where discovery is being rewritten and AI agents may soon replace traditional search as weāve known it.
What You Can Do Right Now:
Try using AI search tools like Perplexity or ChatGPT instead of Google for a few days and notice how the answers feel different. Think about where you get your information and whether it's time to update your digital habits.

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