Google is actively looking to insert different types of ads

Google is actively looking to insert different types of ads in its generative AI search

Google confirmed on its earnings call that it is working on different ad formats for its generative AI-powered search experience — Google shared some ideas earlier this year and the mention in the earnings call could indicate that a rollout could happen sooner rather than later. This project is particularly important for the company as the majority of Google's revenue still comes from ads despite several attempts to diversify its revenue sources through Google Cloud, services, and other bets including hardware. In its earnings call for the third quarter of 2023, Alphabet and Google CEO Sundar Pichai said that the company plans to experiment with a native ad format suitable for its Search Generative Experience (SGE) that is "customized to every step of the search journey."

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