Critiqs

Google expands ads in AI Mode and AI Overviews

google-expands-ads-in-ai-mode-and-ai-overviews
  • Google will show ads within AI Mode answers and AI Overviews on Search for users in the United States.
  • Ads will be clearly labeled and relevant to user queries, rolling out to more regions and platforms soon.
  • Publishers worry about revenue loss while Google pledges to collaborate during AI-driven ad expansion.

Google is taking the next step in evolving its Search platform by introducing advertisements to its Google AI Mode feature. As this option is tested, users may encounter ads both below and within AI Mode’s generated answers when these are contextually appropriate.

AI Mode allows people to pose questions and receive detailed answers generated by artificial intelligence, along with resources like follow-up prompts and relevant website links. For example, if a user is exploring how to launch an online presence, AI Mode may suggest an ad for a website creator, assisting users as they consider business ideas, content strategy, or audience research.

Advertising remains a core revenue driver for Google, with earnings exceeding $66 billion in the first quarter of 2025 alone; thus, integrating ads into AI-powered responses is a natural shift as the service becomes increasingly central. However, user comfort is not guaranteed, as research from CivicScience indicates that over one-third of adults in the United States are hesitant about AI being involved in advertising and may avoid brands that utilize this approach.

Ads Roll Out in AI Overviews and Competitor Moves

Eligibility for these test ads extends to advertisers currently running Performance Max, Shopping, and Search campaigns featuring broad match criteria. Initially, shoppers in the United States will notice Search and Shopping ads while using AI Mode on both desktop and mobile, with expectations to expand to other regions in the future.

Other major technology companies are making similar strides; Perplexity’s AI search engine embraced ads late last year, Microsoft piloted sponsored content within its Copilot chatbot, and OpenAI has also expressed interest in exploring ad-supported frameworks alongside its subscriptions. In tandem, Google revealed it will broaden ad placements within Google AI Overviews, its automated answer summary function in Search. These ads will debut on desktop in the United States and later become available on mobile and in additional countries where English is predominant.

When ads surface within AI Overviews, they appear only if the content directly relates to user inquiries and responses, carrying a clear “Sponsored” label for transparency. Since their initial appearance in the United States on mobile last October, some publishers have voiced concerns about potential impacts on their own advertising income.

Google has reiterated its commitment to collaborating with publishers and factoring their input as new AI-driven features and advertising formats are tested and developed. As generative AI continues to transform the way information is accessed, Google aims to balance innovation in user experience with sustainable opportunities for advertisers and partners alike.

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