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Jan. 17, 2025, 12:39 p.m.
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Google CEO Sundar Pichai Claims AI Model Gemini Outperforms Rivals

Brief news summary

Sundar Pichai, Google's CEO, announced the launch of the AI model Gemini, aiming to outperform competitors and reach 500 million users by the end of the year, as reported by The Wall Street Journal. This initiative follows the surprising success of OpenAI's ChatGPT in 2022, prompting Google to enhance its own AI capabilities. Currently, Gemini holds the position of the 54th most downloaded free app on iPhones, with 106 million users, while ChatGPT leads with 300 million weekly active users and is fourth in overall app download rankings, totaling around 465 million across Android and iOS. In light of slowing growth in search advertising revenue, Google is investigating alternative revenue sources, including a potential $20 monthly fee for premium features of Gemini, although it remains free for Workspace users. The company is also contemplating raising subscription costs for Business and Enterprise accounts. The ongoing discussions about artificial general intelligence (AGI) suggest its potential to transform business operations by emulating human cognitive functions, indicating a significant shift in corporate methodologies.

According to reports, Google CEO Sundar Pichai believes that the company’s artificial intelligence model, Gemini, has outperformed its rivals. Pichai aims to have Google’s chatbot reach 500 million users by the end of the year, as reported by The Wall Street Journal on January 16, citing unnamed sources. The report suggests that Google was taken by surprise when OpenAI launched ChatGPT in 2022, despite its years of AI development and similar chatbot projects. Since that time, the tech giant has worked tirelessly to catch up, with Gemini positioned as a key element of its strategy to lead in AI. While Google has not disclosed the user count for Gemini, it ranked as the 54th most downloaded free app on iPhones as of January 15. In contrast, ChatGPT, boasting 300 million weekly users, held the 4th position on the download list. As for mobile app downloads, the ChatGPT app has amassed approximately 465 million downloads across Android and iOS, compared to Gemini’s 106 million, with most downloads coming from Android devices, the report indicates. With growth in search advertising slowing, Google is exploring new revenue avenues, including subscription services. The company offers a premium version of Gemini featuring additional capabilities for $20 a month. Moreover, this week Google announced that it has eliminated the $20 monthly charge for AI features in its Workspace products. Users of the Workspace Business and Enterprise plans will now receive Gemini features at no extra cost, though the company is set to raise prices for those plans starting Thursday. Additionally, PYMNTS reported earlier this week on the concept of artificial general intelligence (AGI) within the business context.

It noted that while AI can handle numerous tasks, there are still limitations to its capabilities. "AGI would revolutionize the landscape entirely, ” PYMNTS stated on January 13. “It would have human-like problem-solving and cognitive abilities. Like a person who learns culinary skills applying those organizational and timing skills to project management, an AGI system could transfer lessons from one area to entirely different challenges. This adaptability is what makes AGI a profoundly transformative idea for businesses. "


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