ChatGPT, created by San Francisco company OpenAI, has caused a sensation for its ability to write essays, poems or programming code on demand within seconds, sparking widespread fears of cheating or of entire professions becoming obsolete.

Microsoft announced last month that it was backing OpenAI and has begun to integrate ChatGPT features into its Teams platform, with expectations that it will adapt the app to its Office suite and Bing search engine.

The potential inclusion in Bing turned the focus on Google and speculation that the company's world-dominating search engine could face unprecedented competition from an AI-powered rival.

Media reports said the overnight success of ChatGPT was designated a "code red" threat at Google with founders Sergey Brin and Larry Page -- who left several years ago -- brought back to brainstorm ideas and fast-track a response.

The pressure to act was heightened by the poor earnings posted last week by Google-parent Alphabet, which fell short of investor expectations. The company last month announced that it was laying off 12,000 people as it put more emphasis on AI projects.

Google's announcement came on the eve of an AI-related launch event by Microsoft in yet a further sign that the two tech giants will do battle over the technology, also known as generative AI.

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