Google AI: News Websites Face Traffic Plunge and a Fight for Survival

Google AI Tools' Impact on News: Traffic Decline, Shift to Answer Engine, Media Strategies (Direct Reader Focus, Copyright Protection), and Transformation Challenges

Impact of Google AI Tools on News Websites

• Decline in Website Traffic:

  • News websites are experiencing a sharp drop in traffic from search engines due to the rise of AI chatbots.
  • Examples: HuffPost saw a greater than 50% decrease in desktop and mobile traffic from organic search over three years; The Washington Post experienced a similar decline.
  • Business Insider's traffic decreased by 55% between April 2022 and April 2025, leading to layoffs.

• Shift from Search Engine to Answer Engine:

  • Google's introduction of AI Overviews provides direct answers at the top of search results, reducing clicks to websites.
  • The AI Mode directly competes with chatbots, offering fewer links to external sites.
  • Quote: Nicholas Thompson (The Atlantic) stated Google is transitioning from a search engine to an answer engine.
  • Quote: William Lewis (The Washington Post) expressed concerns about the rapid shift to no-click answers posing a severe threat to the news industry.

Media Companies' Strategies and Challenges

• Declining Share of Search Traffic:

  • The New York Times' share of website traffic from organic search decreased from 44% to 36.5% over three years.
  • The Wall Street Journal saw its overall natural search traffic share decline from 29% to 24%, despite an overall traffic increase.
  • Strategy: The Wall Street Journal focuses on enhancing reader trust to encourage direct website visits.

• The Generative AI Transformation:

  • Dotdash Meredith (owner of People and Southern Living) experienced a drop in traffic from Google search from 60% to one-third after the merger in 2021.
  • Quote: Neil Vogel (Dotdash Meredith) believes AI will be the "final nail in the coffin" for the news industry.

New Paths for Media Transformation

• Focus on Direct Reader Relationships:

  • Online media are increasingly focusing on direct connections with readers through events, subscriptions, and other services.
  • Example: The Atlantic is expanding its reader base by improving its app, increasing print magazine distribution, and hosting more live events.
  • Axel Springer-owned media like Politico and Business Insider are prioritizing reader engagement and interaction.

• Protecting Copyright and Addressing AI Threats:

  • The New York Times sued OpenAI and Microsoft for copyright infringement, while also partnering with Amazon for AI content licensing.
  • News Corp (parent company of The Wall Street Journal) partnered with OpenAI but sued Perplexity.
  • Google's search volume on Apple's Safari browser has decreased for the first time in twenty years.