AI search pushing an already weakened media ecosystem

GENERATIVE artificial intelligence assistants like ChatGPT are cutting into traditional online search traffic, depriving news sites of visitors and impacting the advertising revenue they desperately need, in a crushing blow to an industry already fighting for survival.

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“The next three or four years will be incredibly challenging for publishers everywhere. No one is immune from the AI summaries storm gathering on the horizon,” warned Matt Karolian, vice president of research and development at Boston Globe Media.

“Publishers need to build their own shelters or risk being swept away.”

While data remains limited, a recent Pew Research Centre study reveals that AI-generated summaries now appearing regularly in Google searches discourage users from clicking through to source articles.

When AI summaries are present, users click on suggested links half as often compared to traditional searches.

This represents a devastating loss of visitors for online media sites that depend on traffic for both advertising revenue and subscription conversions.

According to Northeastern University professor John Wihbey, these trends “will accelerate, and pretty soon we will have an entirely different web.”

The dominance of tech giants like Google and Meta had already slashed online media advertising revenue, forcing publishers to pivot toward paid subscriptions.

But Wihbey noted that subscriptions also depend on traffic, and paying subscribers alone aren't sufficient to support major media organisations.