Google is promoting advertisers to adopt AI Mode for ads. This mode aims to enhance the search experience with generative AI by providing text and shopping ads integrated within AI Mode chats. Ads will appear under AI search queries, labeled as "Sponsored." Google has already begun testing this feature and reported impressive outcomes. They plan to fully launch AI Mode ads before the fourth quarter. With substantial ad revenue, Google is shifting its focus from traditional search to innovative AI-driven advertising in response to growing usage in AI search tools.
"Be part of our most powerful AI search experience, as customers explore their biggest questions with AI Mode," read one slide in the presentation.
"As we apply the power of Generative AI to Search, Ads will continue to play a critical role in helping consumers find helpful information and enabling businesses to be discovered online."
According to AdAge, Google will roll out ads in AI mode before the fourth quarter. The tech giant told AdAge that they have already started showing more ads in AI mode and have seen "incredible results."
Google's revenue from ads was estimated to be $96.5 billion in the fourth quarter of last year alone.
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