Friendly Google and Enemy Remedies
stratechery.com
stratechery.com
This line would ring more true if Google hadn't invented transformers and a host of other ML breakthroughs to bolster search. Also not search related, but inventing self-driving cars and solving protein folding are innovations that benefit consumers greatly.
I'd bet Ben himself has compared Google to Bell Labs in the past. To argue they don't innovate is insane.
More precisely to your point, he’s arguing that Google is paying off competition rather than spending time beating them (innovating) _within search_. He’s making no claims at least in this article that they don’t innovate anywhere at all. I don’t think he’s giving Google an unfair take in this regard.