Google Expands AI Search Ads Globally as Search Revenue Growth Slows to 12%
Updated
Updated · TechCrunch · Oct 28
Google Expands AI Search Ads Globally as Search Revenue Growth Slows to 12%
3 articles · Updated · TechCrunch · Oct 28
Summary
Alphabet said Google is taking ads in AI Mode to international markets for the first time, extending monetization of its AI-powered Search beyond the U.S.
The push comes as Google Search ad growth decelerated to 12% in the third quarter from 17% in the second and 19% in the first, even as Alphabet posted $127.6 billion in revenue and shares fell 8%.
Google said early signals are encouraging: sponsored product listing click-through rates in AI Mode are comparable to organic listings, and the company’s research shows users find the ads relevant.
Sundar Pichai said AI is changing search behavior, with AI Mode queries averaging three times the length of traditional searches; one in five globally already includes voice, images or documents.
The ad rollout is part of Google’s broader bid to turn fast-growing AI usage into revenue as Cloud jumped 103% to $30.7 billion and Search faces slower core growth.