Google expands AI Search ads globally as core ad growth slows
AI-summarised brief · reviewed before publication
Google announced the global rollout of AI-powered Search ads during its third‑quarter earnings call, aiming to offset slowing growth in its core search advertising business. The company reported $127.6 billion in revenue, up 25% year‑over‑year, while Search ad growth decelerated to 12% from 17% and 19% in earlier quarters. Chief business officer Philipp Schindler said the expansion will bring high‑quality ads into AI overviews worldwide, including multi‑turn ads and AI mode in the U.S. CEO Sundar Pichai highlighted that AI features are driving longer, multimodal queries, with one‑in‑five AI searches involving voice, images, or documents, and that Search queries grew at the fastest five‑year rate.
💡 Why It Matters
- · By monetizing its AI‑enhanced search experience, Google seeks to convert rising user engagement into new revenue streams, potentially reshaping the digital advertising landscape.