Monday, December 8, 2025

News Sites Face Crisis: AI’s Impact on Traffic and Revenue

by Rachel Kim – Technology Editor

News Publishers⁢ Report Steep Traffic⁣ Drops Following Google’s AI‍ Search Integration

London, ​UKNews⁢ organizations​ are facing a meaningful challenge as⁤ website traffic plummets following Google’s integration of artificial intelligence (AI) into ‍its search⁣ results. Publishers are reporting considerable declines‍ in referrals from Google search, raising concerns‍ about ⁣financial sustainability and the future of ​online journalism.

Financial pressures already weigh heavily on news ‌sites due too rising costs, declining​ advertising⁣ revenue, and ‌the downturn in print media.Now, the increasing trend of readers obtaining information directly from AI-powered search results, ⁢rather than clicking ‌through ​to news websites, is exacerbating⁣ the⁣ problem.

John‍ Selid, CEO of the Financial ⁣Times, revealed at a recent press conference that his​ website has experienced a ⁤”sudden and continuous” ​25%⁢ to 30% decrease in traffic originating from Google search. The ⁤ Daily Mail’s owner⁢ reported an even more dramatic drop, citing an 89% decrease in traffic to its sites attributed to google’s ‍AI Overview (AIOOPO).

DMG ​Media, which owns numerous ‌prominent UK media brands, has formally requested the ‍Competition Control Authority​ to investigate Google’s practices, ​specifically calling ‍for “Transparently Providing publishers with traffic statistics from AIOOPO as ⁤part of its ​achievement in the company’s technical‍ domination of the field of research.”

Beyond traffic concerns, experts‌ are also raising questions about ‌the accuracy of AI-generated information. Concerns center around‌ “hallucinations” ⁢- instances where AI presents incorrect or fabricated information as fact – and “integrated bias,” ‌where⁢ algorithms make editorial decisions about summarizing sources. Earlier this year, Apple ​addressed issues‍ with its⁣ AI feature after it incorrectly reported that the suspect in an American​ insurance executive’s murder had died by ‍suicide‌ and falsely ⁣claimed tennis star Rafael Nadal had come out​ as gay.Google, however,⁤ disputes the claims of traffic decline. liz‌ Reid,head of‍ Google Research,asserts that the introduction of⁣ AI in search increases the number​ of‍ inquiries and “high-quality clicks.” She claims⁤ reports of decreased traffic are ​based on “defective methodologies”‍ and‌ that traffic shifts occurred before the rollout ‌of AI features.

Reid⁢ further ‌stated that overall traffic to all websites remains “relatively stable,” explaining that the ⁢expansion of the search network is diversifying user behavior, leading to traffic gains for some‌ sites ⁤and losses ⁢for others.

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