Eddy Cue, Apple's senior vice president of services, testified at an antitrust trial in Washington that Google search volume was losing traffic to AI alternatives such as ChatGPT or Perplexity, according to US media reports.
"That has never happened in 20 years," legal news outlet MLex quoted him as saying.
Cue was giving testimony in a trial in which US Judge Amit Mehta will determine how Google must address his landmark ruling last year that it operates an illegal monopoly in online search.
The Apple executive's remarks saw Google's market capitalization wiped of $140 billion since the close of trading on Wall Street on Tuesday.
The marathon court case has revealed that Google pays Apple tens of billions of dollars every year in a revenue sharing agreement in which Google's search engine is set as the default on Apple's Safari browser.
Markets were also rattled by Cue's comment that "over the coming year we will add other (AI) choices to the search engine choice in the browser, because I think those products are getting better and better," he said, according to MLex.
The testimony backed Google's argument that the emergence of AI has begun a new era in how people get information online, with its search engine now facing new rivalry from AI chatbots.
US government attorneys have urged Judge Mehta to force Google to sell off its Chrome browser, arguing that artificial intelligence will actually only ramp up the tech giant's online search dominance.
Another option is that the judge, in a decision expected in August, will order an end to the payouts from Google to Apple and others for the default position on devices.
Cue told the court this would have a significant impact on Apple's ability to invest in new products and services.
Google agrees to fund three US nuclear plants
Washington (AFP) May 7, 2025 -
Tech giant Google and nuclear developer Elementl Power have signed an agreement to develop three advanced nuclear power plants in the United States, according to a statement released Wednesday.
The partnership comes as technology companies seek new power sources to meet the growing energy demands of the generative AI revolution.
Under the agreement, Google will provide early-stage development capital for three projects, each designed to generate at least 600 megawatts of power capacity, each roughly the equivalent to a standard large power plant.
According to the International Energy Agency (IEA), electricity consumption by data centers is projected to more than double by 2030, creating significant challenges for securing adequate energy as AI usage accelerates.
Google's Global Head of Data Center Energy, Amanda Peterson Corio, said the plan helps fulfill the company's commitment to strengthening power grids.
"Advanced nuclear technology provides reliable, baseload, 24/7 energy" that supports "AI and American innovation," she added.
The collaboration will involve working with utility and regulated power partners to identify suitable locations, according to a joint statement from the companies.
Major tech companies increasingly recognize their growing energy needs.
Microsoft plans to use energy from new reactors at Three Mile Island -- the site of America's worst nuclear accident when it experienced a meltdown in 1979.
Amazon also signed an agreement last year to use nuclear power for its data centers.
Elementl Power will evaluate potential nuclear technology providers and construction partners while selecting specific sites for accelerated development.
Although expensive and politically complicated to build, nuclear power provides consistent, zero-carbon electricity once operational.
Tech companies are investing in Small Modular Reactors (SMRs), though these compact, potentially easier-to-deploy reactors remain experimental.
Amazon has announced investments in SMR projects, including a direct investment in startup X-energy.
Google is partnering with Kairos Power to develop SMRs that it says could be operational as early as 2030.
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