Google and Axiom profit by controlling end-user interactions and data flow

Google and Axiom are both demonstrating the profitability of owning the end user through their strategic control of user interactions and data, according to recent reports [1]. Google’s dominance in the browser market—secured in part by paying OEMs to preinstall Chrome and Google Search—has allowed the company to maintain a 70% market share, ensuring continued ad revenue from billions of daily searches [1]. This model, established from the early days of Chrome’s 2008 launch, underscores the importance of user behavior in digital advertising, where more searches mean more ad impressions and, ultimately, more profit [1].

Similarly, in the decentralized finance (DeFi) space, Axiom has leveraged its position in the Solana memecoin ecosystem to dominate trader interactions, even as platforms like Pump and LetsBonk compete for order flow [1]. Axiom’s frontend UI serves as the primary interface for traders engaging with new tokens, regardless of the launchpad used. By detecting launchpad contracts and offering seamless buy/sell buttons alongside advanced tools like charts and rebates, Axiom captures the “last click,” ensuring a steady stream of user engagement and revenue [1].

The strategic value of owning the end user is further supported by broader trends in the tech industry. Google’s recent financial performance, marked by a double-digit profit increase, highlights its ability to maintain dominance despite aggressive competition from AI chatbots [6]. Meanwhile, the industry-wide surge in AI spending reflects a growing consensus that user-centric platforms—those that can effectively integrate AI and data analytics—will outperform in the long term [1]. OpenAI, for example, has generated $1 billion in monthly revenue, although it has yet to turn a profit [2]. This indicates the high costs associated with AI development but also the strong investor confidence in its potential to drive future profitability.

Both Google and Axiom rely on a key insight: the interface that captures daily user habits and the final click in a transaction also captures the money. Whether through search or on-chain trading, control over user interaction translates to control over monetization [1]. Axiom’s use of fuzzy axiomatic design—focusing on the probability of attribute matching success—enables efficient transaction facilitation in complex, fast-moving markets [5]. This mirrors Google’s broader use of user data and AI to refine its offerings and maintain a deep connection with end users [1].

As AI spending continues to rise, the ability to integrate and optimize these technologies for user satisfaction will become increasingly important. The companies that succeed in doing so will not only capture market share but also define the next phase of innovation in both the search and DeFi sectors. For now, Axiom and Google stand as prime examples of how end-user control can drive profitability, setting a benchmark for others in the industry [1].

Source: [1] Why owning the end user is profitable – lessons from Axiom and Google (https://blockworks.co/news/why-owning-the-end-user-is-profitable-lessons-from-axiom-and-google) [2] OpenAI is making over $20000 every minute, but there's a ... (https://m.economictimes.com/magazines/panache/openai-is-making-over-20000-every-minute-but-theres-a-billion-dollar-catch-in-sam-altmans-long-game/articleshow/123015435.cms) [5] A recycling mechanism for used electric vehicle batteries ... (https://www.sciencedirect.com/science/article/pii/S0360544225034644) [6] Technology - Page 10 (https://www.nytimes.com/section/technology?page=10)