Google has announced plans to begin testing search and shopping ads within its AI-generated answers in the United States. This move comes shortly after the company’s rollout of the AI Overviews feature at its annual I/O conference.
According to Google, these ads will be displayed in a designated ‘sponsored’ section within the AI Overview, with their placement determined by relevance to the user’s query.
Seeking to expand its dominance into the realm of emerging generative AI technology, Google aims to leverage AI integration in its search engine to enhance its advertising revenue, a significant source of income for the tech giant.
In the first quarter ended March 31, Google reported a 13% increase in advertising sales, amounting to $61.7 billion. The company plans to gather feedback from advertisers as it continues to experiment with and refine new ad formats.
During its I/O conference, Alphabet showcased its ongoing efforts to integrate AI across its various businesses. This included enhancements to its prized search engine and the introduction of a more advanced Gemini chatbot.
