Saad Ullah
⬤ New data comparing ChatGPT and Google Gemini shows ChatGPT holding a commanding lead with 67.6 million daily active users on iOS compared to Gemini's 3.8 million. The gap is even more dramatic in key markets - ChatGPT hits 15.8 million daily users in the US versus Gemini's 0.4 million, while India shows 13.9 million for ChatGPT against just 0.1 million for Gemini. These numbers suggest Gemini's growth is mostly coming from bundling strategies and regional factors rather than users actually switching platforms.
⬤ Despite ChatGPT's dominant user numbers, Similarweb traffic data tells a different story - OpenAI's share of overall generative AI activity has dropped while Google Gemini's slice has grown. This indicates OpenAI is bleeding market share even while keeping its massive user base, which analysts see as healthy competition that could drive innovation and push prices down across the industry.
⬤ The data highlights concerns about market concentration in AI. A monopoly by either platform would be problematic, especially if advertising models end up controlling user experiences. Earlier interpretations had overstated Gemini's rise by focusing only on traffic metrics without factoring in actual daily user counts, showing why multiple data points matter when analyzing platform performance.
⬤ For investors watching Alphabet Inc. (GOOG), these findings underscore how competitive the AI landscape has become. ChatGPT's grip on daily users shows OpenAI isn't going anywhere, while Gemini's growing market share proves Google's AI push is gaining real traction. The ongoing battle between platform scale, business models, and regulatory pressure will keep shaping GOOG's trajectory as competition heats up.
Saad Ullah
