Google, whose primary source of revenue is advertising—with $66.89 billion earned from ads in Q1 2025 alone—is now expanding that model into its AI-powered search features. As Google continues to develop AI Mode and AI Overviews as the future of Search, it was only a matter of time before ads were integrated into those AI-generated results. These ads will initially be pulled from existing ad campaigns and shown in relevant AI-generated content, marking a shift in how digital advertising aligns with next-generation search technologies.
However, not all consumers are on board with this change. A CivicScience poll revealed that 36% of U.S. adults are skeptical about the use of AI in advertising, saying they would be less likely to purchase from brands that utilize AI-generated ads. This hesitancy highlights a potential challenge for Google and advertisers: while AI integration may streamline targeting and increase engagement, it could also erode trust and affect consumer behavior, especially among users wary of algorithmic influence in brand messaging.
Leave a Reply