July 14, 2025
by Sudipto Paul / July 14, 2025
OpenAI and Perplexity announced their upcoming AI-powered browsers in July 2025. This announcement marks yet another chapter in the nearly three-decade-long battle for browser supremacy. Historically, browsers have served as gateways determining data collection, ad revenue, and user loyalty, making their dominance crucial to tech ecosystems.
Today, Google Chrome commands approximately 68.35% of the global market share. But this powerful hold wasn't always guaranteed, as demonstrated by previous market leaders like Netscape Navigator, Internet Explorer, and Mozilla Firefox.
This is the story of how browser wars have evolved in the last 30 years.
After being launched in 1994, Netscape Navigator rapidly became the dominant web browser in the early days of commercial internet adoption. Users liked it because of its user-friendly interface and pioneering features such as bookmarks and secure online transactions.
By late 1995, Netscape had amassed an overwhelming market share of 80%, becoming synonymous with the very concept of web browsing. This dominance attracted competition, most notably from Microsoft.
Microsoft’s aggressive bundling of Internet Explorer with its dominant Windows operating system fundamentally reshaped browser competition. As Internet Explorer’s share surged, competitors effectively vanished, leaving IE virtually unchallenged by the early 2000s.
Competitor browsers like Netscape Navigator and Opera had negligible market presence at this time. Microsoft allegedly made it difficult for other software companies to put their products on personal computers running on Windows.
This monopoly period highlighted the broader dangers of market stagnation. This stagnation paved the way for future companies that focused on speed, security, and user experience, leading to the next browser disruption in the mid-2000s.
After several years of Internet Explorer’s dominance, Mozilla’s Firefox emerged as a compelling alternative.
Chrome’s innovative rapid-release cycle and superior JavaScript performance were starting to attract Firefox's early-adopter segment. Mozilla’s success had broader implications: it encouraged openness in web standards and raised user expectations in terms of browser performance, security, and customization.
Firefox’s peak period underscored a key lesson: users respond positively when they see tangible improvements in speed, functionality, and control. Mozilla’s momentum soon faced stiff competition from Chrome, setting the stage for yet another shift in the browser market.
Chrome fundamentally shifted browser expectations by focusing on speed, design, and fast update cycle. Chrome’s minimalist interface with its lightning-fast V8 JavaScript engine and stable updates every six weeks made it uniquely appealing, drawing users away from other alternatives.
Chrome’s rapid ascent forced Microsoft to reconsider its browser strategy, eventually leading to Internet Explorer’s replacement with Microsoft Edge in later years. Chrome’s takeover underscored the importance of continuous innovation, speed, and user-focused simplicity, creating benchmarks that set a new standard for future browser competition.
Google released its open-source Chromium engine in 2008. It quickly became the foundation for most new browsers, redefining browser competition as a race for distinct features rather than performance.
The Chromium era highlighted the importance and the difficulty of differentiation when multiple products rely on a shared technology base.
A new era of web browsing begins in 2025, with AI-powered browsers entering the market.
OpenAI announced its forthcoming browser, integrated directly with its hugely popular ChatGPT. It performs real-time tasks like shopping, reservations, form submissions, and personalized assistance without users needing to manually navigate webpages.
OpenAI’s upcoming ChatGPT-powered browser aims to leverage its existing user base of over 500 million weekly active users as an entry point. In April 2025, Nick Turley, testifying for the U.S. government in the monopoly trial against Google, revealed that OpenAI offered to integrate Google Search results into ChatGPT the previous year.
Simultaneously, Perplexity launched Comet, an innovative AI-centric browser featuring an advanced assistant capable of managing tabs, summarizing email inboxes, and autonomously interacting with web content.
Both may face considerable hurdles against Chrome’s deeply entrenched position within Google’s extensive ecosystem, its powerful distribution via Android, and longstanding user habits.
The early challenges for these AI browsers include limited initial distribution channels, user skepticism around AI-driven privacy, and the high barrier of convincing users to switch from Chrome’s familiar ecosystem.
Despite Chrome’s substantial advantage, the entrance of OpenAI and Perplexity suggests that users may evaluate future browsers by their capability to autonomously complete tasks and deliver personalized, context-aware assistance.
Browser dominance has historically drawn regulatory scrutiny, a lesson illustrated by the landmark antitrust cases against Microsoft in the early 2000s, which targeted Internet Explorer’s bundling practices and restricted market choices.
Google Chrome faces growing regulatory attention, particularly from influential jurisdictions like the European Union, the UK, and the United States. These regions have shown willingness to challenge major tech firms over search dominance.
Another intriguing future scenario involves blockchain-based or decentralized browsers that prioritize privacy, security, and data ownership. Though still niche today, these browsers may continue to grow in the future.
Despite hurdles, blockchain browsers could emerge as credible niche challengers, influencing mainstream browsing standards and potentially shaping user expectations around online privacy and data ownership.
The history of browser wars makes one thing clear: no leader stays on top forever.
Netscape lost to Microsoft because of distribution. Internet Explorer lost to Chrome because of performance. And while privacy-focused browsers like Brave have found loyal fans, they remain small players in a space where scale matters.
Now, a new challenger is emerging. AI-powered browsers from OpenAI and Perplexity could fundamentally shift what users expect from web browsing: automation, task completion, and contextual assistance, not just speed or simplicity.
If these tools deliver real value, especially at scale, they might spark the most significant shakeup since Chrome's launch. For Chrome, which currently dominates the market thanks to Google's ecosystem and Android distribution, this moment could mark the beginning of a new kind of competition driven by capability.
Check out the best browsers you can rely on in 2025 for privacy, speed, and usability.
Sudipto Paul is an SEO content manager at G2. He’s been in SaaS content marketing for over five years, focusing on growing organic traffic through smart, data-driven SEO strategies. He holds an MBA from Liverpool John Moores University. You can find him on LinkedIn and say hi!
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