The brutal truth behind Baidu's massive layoffs: Search is dead, AI is devouring everything!

By the end of 2025, news of Baidu layoffs hit like a heavy bomb, shattering the last illusions of the internet. As a former search giant, Baidu's contraction marks the official end of the “search box era.” However, across the ocean, Google has reached a new high in stock price thanks to a suffocating AI combo (Gemini 3 + AI Studio + full-chain ecosystem).

This is not just the rise and fall of two companies, but a species evolution in the search engine paradigm.

1. Layoffs are just the surface; the “root” of search has been pulled out

Recent reports of Baidu cutting 20%-40% of staff mainly focus on MEG (Mobile Ecosystem Group). This sends an extremely dangerous signal to the market: the traditional closed loop of “search-driven traffic, traffic-driven ads” is completely broken.

The fatal flaw of going app-less: We used to find apps through search, but now AI Agents (intelligent agents) directly take over tasks. When users no longer need to jump between apps, the search engine as the “biggest intermediary” loses its purpose.

The “dusk” of pioneers: Baidu has been developing AI for a long time, but over-reliance on search dividends caused its AI to always be stuck in the “search plugin” role, ultimately being fully intercepted at the application layer by emerging competitors.

2. Google’s “dimensionality reduction attack”: a single chart to understand what a true AI ecosystem is

If Baidu is “patching the old ship,” then Google is “rebuilding the planet.” According to the latest Google AI strategic map, Google has completed a full chain loop from underlying architecture to end-user applications:

1. Productivity tools’ “dimensionality reduction injection” (Google Workspace)
Google didn’t make users “search” for AI; instead, Gemini was directly integrated into Gmail, Docs, Drive, and Calendar. This means AI is not just an entry point but a foundational infrastructure like electricity. When you write documents, AI has already done research and polishing, making traditional search boxes extremely inefficient.

2. Developer ecosystem’s “nuclear arsenal” (Devs & AI Studio)
This is Google’s strongest point. Through Google AI Studio and Gemma, Google directly empowers developers worldwide.

Vibe Coding revolution: The engineering experience in AI Studio is excellent, and with Gemini 3’s extended context, developers can instantly leap from idea to product.

Full-stack support: From TensorFlow to Colab, Google has firmly grasped the underlying discourse power of the AI era.

3. The “species evolution” of research and search (Browser & Research)
NotebookLM’s explosive popularity is a landmark event. It has completely changed the way humans process information—no longer searching item by item, but “feeding in data and directly generating insights.” Coupled with Chrome’s native AI Mode, Google is actively killing its own invented old search and creating a brand new “knowledge perception engine.”

4. The “all-powerful base” of creativity and data (Creativity & Cloud)
Creative side: Veo3 (video generation) and Lyria (audio generation) directly target top industry standards, lowering the barrier to creation to zero.

Cloud: Deep integration of Vertex AI and BigQuery makes Google Cloud the top choice for enterprise AI deployment, which also explains why its stock price has soared.

I can’t remember the last time I used search to find information sources; every time I think first of AI. Whether for learning, tutorials, or solving problems, I directly use AI because it gives me the most direct answers.

I believe the future internet will no longer have “search,” only “interaction” and “response.” In this long race toward app-less, Google has already secured a ticket to the next era, while Baidu’s layoffs may just be the beginning of a large retreat of traditional search engines.