Frankly this seems like a good decision to me.
Google's search is increasingly AI driven (as it should be, i do not want to click on reddit links and waste my time skimming through the 1000 comment threads), asking Google to maintain a non-AI search engine is like asking Tesla to come up with an ICE engine car right now. It is not happening.
Google Search I would expect will increasingly become more like Gemini and less like traditional search. Schools could certainly go to DuckDuckGo or other search engines that are free. (Google has shown that it does not care if they do as it sees it as a dying business.)
> asking Google to maintain a non-AI search engine is like
...is like asking your company to maintain its SQL database instead of shoving everything into a document the LLM reads and suggests edits to.
Even if you're using an LLM to talk to the user, there still needs to be some kind of deterministic search engine back there in order to do things well, or to answer any kind of question that involves information newer than X months ago.