Wallstreet InsightFriday, Jul 11, 2025 5:09 am ET
1min read
The tech giants’ battle is heating up. As Google rolls out its Gemini AI to challenge ChatGPT, OpenAI is firing back—preparing to launch a new AI-powered web browser that could pose a serious threat to Google Chrome’s dominance.
According to Reuters, citing two sources familiar with the matter, OpenAI's upcoming browser will allow users to interact within a local chat interface similar to ChatGPT, rather than simply redirecting them to websites. In addition, the browser will integrate AI agent products such as Operator directly into the browsing experience, enabling the browser to perform tasks on behalf of the user—such as booking hotels, filling out forms, and more.
OpenAI isn’t the only unicorn entering the AI browser race. Perplexity AI, backed by Nvidia, has also introduced an AI browser called Comet in an effort to challenge Chrome's dominance.
The core feature of the Comet browser is its pre-installed Perplexity AI search engine, which generates AI-powered summaries of search results. It also features an AI agent, Comet Assistant, which operates in sync with the browser.
Comet Assistant can automatically identify the content users are viewing and answer questions about social media posts, online videos, or documents—saving users from having to copy and paste content into a chatbot. The assistant can also automate everyday tasks such as summarizing pages, planning routes on maps, finding emails, summarizing calendar events, and conducting deep research. Its functionality is similar to OpenAI's Operator AI agent.
According to web analytics firm StatCounter, Google Chrome currently commands more than two-thirds of the global browser market, with over 3 billion users worldwide. Chrome is also a crucial pillar of Alphabet's advertising business, which accounts for nearly three-quarters of the company’s total revenue.
If even a portion of ChatGPT’s reported 400 million weekly active users switch to OpenAI’s browser, it could pose a real threat to Google’s ad revenue model.