Google is ready to add ads to its updated AI Search
The Search Generative Experience tool is currently available only on an optional basis, but Google CEO Sundar Pichai says that the company will soon experiment with new AI-related formats.
At the same time, during the quarterly report, Chief Commercial Officer Philip Schindler added that it is “extremely important for Google that advertisers still have the opportunity to engage potential customers in search in the new experience.”
The search business brought Google $44 billion last quarter, up 11% year-on-year.
Introducing artificial intelligence into search is a long-term game for Google. Pichai said he sees an opportunity to “grow Search and Assistant over the next decade.” Last quarter, he said that “over time, SGE will work just like Search” and given the comments about advertising, it seems that the company is starting to think seriously about how to turn its AI-powered search into money.
The rest of Google’s business is also doing well, with YouTube advertising bringing in $7.9 billion, up 12% year-on-year. Meanwhile, the company has already introduced several new AI-powered tools for creators, including backgrounds for photos and videos, suggestions for content themes, and dubbing.
Google’s cloud business, which offers artificial intelligence services that customers can purchase for their own programs and products, earned $8.4 billion, up 22% from the third quarter of 2022.
