Google to Introduce Advertisements to AI-Generated Responses

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Google announced it would commence trials for incorporating search and shopping advertisements into its AI-generated responses in the United States.

This decision comes shortly after the widespread rollout of the AI Overviews feature during its annual I/O conference.

According to a blog post by the Alphabet-owned company, these ads will be displayed within a ‘sponsored’ section within AI Overviews, with relevance to the user’s query and information.

Also Read: Google introduces AI updates to search engine

Google aims to expand its advertising reach beyond traditional search advertising into emerging generative AI technology, with the goal of bolstering its ad revenue.

In the first quarter ending March 31, Google recorded a 13% increase in advertising sales, amounting to $61.7 billion.

The company expressed its commitment to experimenting with and refining new ad formats, seeking input from advertisers.

At the recent I/O conference, Alphabet demonstrated its ongoing investment in AI across its various ventures, showcasing enhancements to its flagship search engine and the introduction of an enhanced Gemini chatbot.

Source Reuters

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