AI searches are exploding

The big news yesterday was Google’s plans blow up his traditional Hunt instead of using the power of AI – but Google is not the only company preparing for the next generation that will be known.

this morning, Bloomberg has the story the Andreessen-backed Exa Labs, which raised $ 250 million against a price of $ 2.5 billion to go to the same market. And it’s part of all the startups chasing AI search, which has quietly become one of the most attractive targets for AI buyers.

From Bloomberg:

Exa is part of a group of startups looking to revolutionize the search industry, including Tavily, TinyFish and Parallel Web Systems. Led by former Twitter CEO Parag Agrawal, Parallel recently raised $100 million in a $2 billion round led by Sequoia Capital, according to the Wall Street Journal.

At the same time, we are also seeing traditional technology platforms like Amazon, LinkedIn and Reddit looking to AI to improve what they search and find – so there will be more buyers if other startups start looking to sell.

The biggest competitor is ChatGPT, which is still in the form of an interface and, before Google, was in charge of the big search powered by AI that will happen one day. But OpenAI won’t make Search a priority and Google has an advertising business to protect, which would leave room for a small lab like Exa or Parallel to do it on its own.