IBM for years dominated the physical server market but when cloud computing took hold they struggled to make the transition as it was a classic innovators dilemma; do you kill the cash cow for the obvious, but less profitable future?
Google has the same choice today. Their classic search business has 90% market share and is hugely profitable. The population of the US is on Chat GPT already and ,ore users join each day and services expand.
If AI is the future, the question is if we go from here to an AI search world will Google still have 90% market share and massive margins?
With no switching costs for users, I don’t see the moat holding and I imagine GOOGL will flounder going forward