Google plans to incorporate advertisements into its AI Mode for Search, allowing ads to appear within AI-generated responses or as related suggestions. This move seeks to capitalize on Google’s substantial ad revenue, which reached $66.89 billion in Q1 2025. While Google asserts these ads will provide value by directing users to relevant sites, public sentiment reflects concerns, with a notable percentage of consumers indicating they would be less likely to engage with brands using AI in advertising. This reflects both an innovative push in search capabilities and a significant user reaction to the integration of ads into AI services.
AI Mode in Google Search will now feature ads relevant to users, seamlessly integrated into responses, enhancing user experience while potentially impacting brand perceptions.
With 36% of U.S. adults expressing hesitance towards brands using AI in ads, Google's introduction of advertisements in AI Mode may face user backlash.
Google's AI Mode is a step towards future-proofing its search services, with ads becoming a key component for revenue generation in this evolving landscape.
Competitors like Microsoft and Perplexity have also ventured into AI advertising, indicating a broader industry trend towards integrating ads in AI-enhanced services.
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