Greetings from the AWS ExecLeaders Summit in Newport Beach. I'm here to do the closing keynote, then I’m headed straight back to NYC. Fun fact: this is the first red-eye I’ve taken in the recent memory of man or beast. I’m not looking forward to it.
In the news: In an unsurprising move, Google is putting generative AI at the center of its most valuable real estate. The company is redesigning its homepage to feature “AI Overviews,” a mode that uses Gemini to synthesize information directly on the results page. For users, this means fewer blue links, more summarized answers, and the beginning of the transition from search engine to answer engine.
The new feature, though not widely available yet, appears directly beneath the Google search bar beside the “Google Search” button, replacing the iconic “I’m Feeling Lucky” widget.
But the real story isn’t the feature set. It’s the strategy.
Channeling their inner Clayton Christensen, Google is embracing the Innovator’s Dilemma: disrupt yourself before someone else does. In this case, Google is cannibalizing its own search ad model (still the company’s financial backbone) to protect long-term dominance in AI. The trade-off is clear: less immediate ad revenue per query in exchange for deeper user engagement and a more defensible moat around the future of search.
AI Overviews could drastically reduce traffic to websites, particularly publishers, retailers, and content creators who rely on Google referrals. That’s a known risk. However, the existential threat isn’t from content partners. It’s from OpenAI, Perplexity, and every startup aiming to turn AI into the next search interface.
The transition from search engine to answer engine is going to be a rough one. But if I had to bet who will ultimately be "Google for AI Search", I'm going with Google.
As always, your thoughts and comments are both welcome and encouraged.
Shelly Palmer is the Professor of Advanced Media in Residence at Syracuse University’s S.I. Newhouse School of Public Communications and CEO of The Palmer Group, a consulting practice that helps Fortune 500 companies with technology, media and marketing. Named LinkedIn’s “Top Voice in Technology,” he covers tech and business for Good Day New York, is a regular commentator on CNN and writes a popular daily business blog. He's a bestselling author, and the creator of the popular, free online course, Generative AI for Execs. Follow @shellypalmer or visit shellypalmer.com.
