Apple is actively exploring a major transformation of its Safari web browser to incorporate AI-powered search engines, signaling a potential break from its longstanding partnership with Google. Eddy Cue, Apple’s senior vice president of services, revealed this during his testimony in the US Justice Department’s antitrust lawsuit against Alphabet, highlighting a tectonic shift in how iPhone users may soon experience web search.

The Apple-Google deal, worth an estimated $20 billion annually, has made Google the default search provider on Safari since the iPhone’s launch in 2007. However, the lawsuit threatens to upend this arrangement, potentially ending Google’s dominance in Apple’s browser ecosystem. Cue noted that Safari searches declined last month for the first time, attributing this to increasing consumer use of AI-powered alternatives like OpenAI, Perplexity AI, and Anthropic.

Apple plans to introduce multiple AI search options within Safari, although Google is expected to remain the default for now. Cue confirmed ongoing talks with AI firms like Perplexity and emphasized that Apple is open to integrating various AI providers into its ecosystem, including its own AI efforts. Notably, Apple already supports OpenAI’s ChatGPT in Siri and is expected to add Google’s AI search product, Gemini, later this year.

This strategic pivot reflects broader changes in the tech landscape, where AI is rapidly gaining traction as a superior search experience. Cue explained that emerging AI-powered search engines offer new ways to tackle search challenges, potentially outpacing traditional engines by combining enhanced indexing with creative features. He predicted that AI search providers will eventually supplant conventional search platforms, citing increased investment and innovation in the sector.

Financially, the potential breakup of the Apple-Google deal concerns Cue, as the current arrangement yields significant revenue for Apple’s services division, which recently set records despite hardware sales slowing. Nevertheless, the legal and technological environment is driving Apple toward a future where AI search is a fundamental part of the user experience.

Looking ahead, Apple plans to showcase advancements in its AI platform at the upcoming developer conference in June, signaling a commitment to compete in the AI search arena. The move toward AI-powered search in Safari could redefine browsing for over 2 billion Apple devices globally, reshaping how millions find information online.

Read the full report here: Bloomberg