Updated Google AI search features like AI Overviews and AI Mode are causing a crisis in the media industry.
Major publishers have seen significant drops in traffic, with Business Insider losing 55% of referral traffic.
This trend is leading to layoffs and strategic shifts in newsrooms, with outlets investing more in subscriptions and direct reader engagement.
Google's AI updates focus on AI-generated summaries rather than traditional website links, impacting original news sources.
Publishers accuse Google of profiting from their reporting without providing proper credit, leading to legal battles and new tactics to retain readers.
Some publishers have launched paid subscriptions, improved apps, or pursued legal action against AI firms using their content without permission.
The conflict between AI firms and traditional media highlights a larger battle in today's attention economy.
Industry leaders see this issue as a pivotal moment for journalism, emphasizing the need to build reader trust and loyalty beyond search referrals.