Google search on Samsung tablet
Samsung is reportedly planning to replace Google with Bing as the default search engine on its Galaxy devices Pixabay

Samsung is reportedly planning to replace Google Search with Microsoft Bing on its Galaxy smartphones and tablets. Google is currently the default search engine on Samsung's existing phones and other devices. However, the search giant has been having a tough time since Microsoft launched the ChatGPT-backed Bing AI.

With the world's largest Android phone manufacturer considering switching to Bing on its Galaxy devices, Google is understandably sparing no effort in upgrading its search engine with new AI features. The project will be known as "Magi." As part of this project, Google is prepping to bring a more personalised experience to its existing service.

Google to lose its position as the default search engine on Samsung Galaxy devices

More than 160 executives, engineers, designers, and other staff members are working on project Magi. Last week, the American tech giant invited its employees to test Magi AI on its search engine. Google could show off the Magi AI at the upcoming Google I/O 2023, which is slated to kick off on May 10.

However, a report by SamMobile suggests the first version of the Magi AI will boast limited features. However, it will get more features this fall. Meanwhile, Microsoft integrated Bing AI into some of the company's popular mobile apps including Skype and the SwiftKey keyboard last week. The American tech giant is expected to bring its search engine's AI features to more products in the coming months.

Samsung, on the other hand, is in the negotiation stages with Microsoft to bring the Bing search engine to its Galaxy devices. This includes Android-backed Galaxy smartphones and tablets. After learning about the talks between Microsoft and Samsung, Google is leaving no stone unturned to add new AI features to its search engine.

According to a report by The New York Times, Google believes that the Korean smartphone giant is planning to switch to Microsoft Bing because it offers some awe-inspiring AI features. The fact that Samsung is gearing up to replace its key product with Microsoft Bing has reportedly put the Mountain View, California-based company into "panic" mode.

So, Google is working to add Magi AI to its search engine and come up with its own counter-pitch to Samsung. It is unclear whether Samsung will consider staying with Google instead of Microsoft. However, Google could bring some mouthwatering offers to the table such as lowering the price of Google Mobile Services licensing.

Alternatively, Samsung could sign a contract with Microsoft and still retain its license with Google. The Magi AI could launch in the US before it rolls out to other regions. While it is expected to have a maximum of one million users in the US, Magi AI could expand to a whopping 30 million users by the year's end. Android smartphone manufacturers have to meet specific conditions to get access to Google apps.

One of these conditions is that Google will be the default search engine on the Android device. However, the company is now facing a major threat to its position as the default search engine on Galaxy devices. With the ongoing race to bring the best AI features to search engines, it will be interesting to see how Google handles this new challenge.

Alphabet stock price falls

Google's parent company Alphabet's stock slid 4 per cent on Monday. The company lost $55 billion in market value after the NYT report suggested that Samsung is considering replacing Google with Bing as the default search engine on its Galaxy devices. This puts nearly $3 billion in annual revenue at risk for Alphabet, according to a Market Insider report.

The competition is heating up in the AI segment, with SpaceX CEO Elon Musk recently incorporating an AI-focused company called X.AI. As reported by CNBC, one mistake made by the first version of Google Bard cost the tech company over $100 billion back in February. So, Google will probably avoid trying to roll out its latest project Magi before it is fully tested.