Google revealed plans on Wednesday to introduce advertisements within AI Mode, the company’s AI-powered experience in Google Search. As part of a test, ads may appear “where relevant” below and integrated into AI Mode responses.
AI Mode allows users to ask questions and receive AI-generated answers, with options for follow-up queries and links to websites. Google explains that, for example, if a website builder is a good next step for a query, the system may display an ad to help users get started. Users can then explore business ideas, content strategies, and learn about their target audience through further questions.
Ads Enter AI Search
With ads generating $66.89 billion in revenue for Google in Q1 2025, it was expected that advertising would extend into AI-driven search experiences. However, not all users are enthusiastic about this. A recent CivicScience poll found that 36% of U.S. adults are wary of AI in advertising and would be less likely to purchase from brands using AI-generated ads.
Currently, advertisers using Google’s Performance Max, Shopping, and Search campaigns with “broad match” targeting will be eligible for their ads to appear in AI Mode. U.S. users will initially see Search and Shopping ads on both desktop and mobile platforms.
AI Ads Across the Industry
Other companies have also experimented with ads in AI products. Perplexity, an AI-powered search engine, launched ads last November and is exploring data-driven targeting options. Microsoft briefly tested ads in its Copilot chatbot, while OpenAI has suggested that ad-supported models may be part of its future strategy.
In related news, Google announced an expansion of ads in AI Overviews — AI-generated summaries within Google Search. Starting soon, Search and Shopping ads labeled “Sponsored” will appear on desktop in the U.S., with plans to extend to select countries and mobile devices.
Some publishers have voiced concerns that Google’s AI ad integration may threaten their advertising revenue streams. Google stated that it considers publisher feedback carefully as it develops its AI search experiences and related advertising products.
Author’s Opinion
The introduction of ads into AI-driven search features like AI Mode is a natural step for a company whose revenue depends heavily on advertising. However, there is a delicate balance between monetization and user experience. Overloading AI responses with ads risks eroding trust and engagement, especially as many users remain skeptical of AI-generated content. Google must ensure transparency and relevance in its ad placements to maintain credibility. Otherwise, users may seek alternatives that better respect the subtle line between helpful AI assistance and intrusive commercial content.
