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Qatar Tribune
6 days ago
- Business
- Qatar Tribune
Ads pressured to evolve as AI changes Google search
Agencies As Google races to lead in artificial intelligence, it faces the challenge of making sure the technology doesn't slow its profit-pumping advertising engine. The internet giant is dabbling with ads in its new AI Mode for online search, a strategic move to fend off competition from ChatGPT while adapting its advertising business for an AI age. 'There's no question that AI is becoming more commonplace as a source for answers,' IDC advertising and marketing technology research director Roger Beharry Lall told AFP. 'That will inevitably result in a shift in terms of search and the opportunities to promote a brand.' The integration of advertising has been a key question accompanying the rise of generative AI chatbots, which have largely avoided interrupting the user experience with marketing messages. However, advertising remains Google's financial bedrock, accounting for more than two-thirds of its revenue. 'Google certainly needs to find a way to monetize AI search in the way that it has monetized its past versions of search,' Techsponential analyst Avi Greengart told AFP at the tech giant's annual developers conference this week. A new AI Mode enables conversational interaction with Google during search queries, providing answers in diverse formats, such as video, audio or graphs. The internet giant said it is testing integrating ads into AI Mode responses, building on insights gained from AI-generated summaries, or 'Overviews,' introduced to search results a year ago. These Overviews display comprehensive AI-generated summaries of results above traditional website links and ads. 'The future of advertising fueled by AI isn't coming — it's already here,' stated Vidhya Srinivasan, Google's vice president of Ads & Commerce. 'We're reimagining the future of ads and shopping: Ads that don't interrupt, but help customers discover a product or service.' Google is extending ads in AI Overviews to desktop in the U.S., following successful mobile implementations. More than 1.5 billion users see AI Overviews monthly, according to the company. 'Google's doing very good job of adapting,' Beharry Lall said. 'The move right now is to experiment and to gain traction, just as they have.' Google's aggressive push into generative AI intensifies its competition with OpenAI's ChatGPT, which added search engine capabilities to its popular chatbot. Google announced it is making AI tools available to streamline the creation of online ads, mirroring similar initiatives by Facebook-owner Meta, Google's primary rival in online advertising. New features, available in the United States, will enable merchants to leverage AI for effective marketing campaigns and to 'power an algorithm capable of targeting new searches and generating additional conversions,' Google said. 'AI helps a lot in advertising as far as targeting customers more precisely,' Creative Strategies analyst Carolina Milanesi told AFP. Google should have opportunities to charge for AI tools for ad campaigns, and even for insights from data the tech firm has about its users' lives. 'When you have AI agents doing things for you, those agents are going to need data,' Milanesi said. 'To get access to that data, you're going to have to pay.' For example, Google knowing the kinds of restaurants or places someone has searched for online would have value for targeting ads, she said.
Business of Fashion
22-05-2025
- Business
- Business of Fashion
LVMH Relinquishes Place Among Europe's Top Five Biggest Stocks
LVMH lost its place among Europe's top five listed companies as the luxury-goods maker endures its worst year-to-date slide since the 2008 financial crisis. The French company's shares fell about 3 percent on Thursday, taking their decline for this year to 25 percent. Its market value of about €239 billion ($270 billion) slipped below that of Swiss packaged-foods maker Nestle SA. Like most luxury companies, LVMH is being weighed down by demand worries in China and concerns that Donald Trump's tariffs will weigh on consumer spending in the US. The company has been putting out cautious signals on second-quarter trends, according to people familiar with the matter. 'For shares to reprice we'd need to return to some growth in the industry and/or some relative outperformance versus peers,' Morningstar analyst Jelena Sokolova said. 'I think both are more likely than not over the medium-term but I'm not sure those will happen this year.' ADVERTISEMENT It's been a gradual retreat for a stock that claimed a spot in the world's top 10 as recently as 2023, and once rivalled Facebook-owner Meta Platforms Inc. in terms of size. Investors fret that a recovery is looking elusive. Barclays Plc analyst Carole Madjo recently downgraded LVMH to equal-weight, saying she doesn't expect the firm's key fashion and leather-goods division to return to growth this year. 'On the back of the incremental headwinds facing the sector, especially in the US, we think the sector's earnings recovery story could be delayed,' Madjo said in a note. By Kit Rees and Julien Ponthus Learn more: LVMH Said to Signal Continued Weakness on China Woes The French luxury behemoth is warning investors and analysts that demand remains soft this quarter amid lacklustre consumer confidence, particularly in China, sources told Bloomberg.
Japan Today
22-05-2025
- Business
- Japan Today
Ads pressured to evolve as AI changes Google search
As Google tests weaving ads into its new AI Mode online search it remains to be seen how well marketing messages will be clearly and smoothly worked into results By Glenn CHAPMAN As Google races to lead in artificial intelligence, it faces the challenge of making sure the technology doesn't slow its profit-pumping advertising engine. The internet giant is dabbling with ads in its new AI Mode for online search, a strategic move to fend off competition from ChatGPT while adapting its advertising business for an AI age. "There's no question that AI is becoming more commonplace as a source for answers," IDC advertising and marketing technology research director Roger Beharry Lall told AFP. "That will inevitably result in a shift in terms of search and the opportunities to promote a brand." The integration of advertising has been a key question accompanying the rise of generative AI chatbots, which have largely avoided interrupting the user experience with marketing messages. However, advertising remains Google's financial bedrock, accounting for more than two-thirds of its revenue. "Google certainly needs to find a way to monetize AI search in the way that it has monetized its past versions of search," Techsponential analyst Avi Greengart told AFP at the tech giant's annual developers conference this week. A new AI Mode enables conversational interaction with Google during search queries, providing answers in diverse formats, such as video, audio or graphs. The internet giant said it is testing integrating ads into AI Mode responses, building on insights gained from AI-generated summaries, or "Overviews," introduced to search results a year ago. These Overviews display comprehensive AI-generated summaries of results above traditional website links and ads. "The future of advertising fueled by AI isn't coming — it's already here," stated Vidhya Srinivasan, Google's vice president of Ads & Commerce. "We're reimagining the future of ads and shopping: Ads that don't interrupt, but help customers discover a product or service." Google is extending ads in AI Overviews to desktop in the U.S., following successful mobile implementations. More than 1.5 billion users see AI Overviews monthly, according to the company. "Google's doing very good job of adapting," Beharry Lall said. "The move right now is to experiment and to gain traction, just as they have." Google's aggressive push into generative AI intensifies its competition with OpenAI's ChatGPT, which added search engine capabilities to its popular chatbot. Google announced it is making AI tools available to streamline the creation of online ads, mirroring similar initiatives by Facebook-owner Meta, Google's primary rival in online advertising. New features, available in the United States, will enable merchants to leverage AI for effective marketing campaigns and to "power an algorithm capable of targeting new searches and generating additional conversions," Google said. "AI helps a lot in advertising as far as targeting customers more precisely," Creative Strategies analyst Carolina Milanesi told AFP. Google should have opportunities to charge for AI tools for ad campaigns, and even for insights from data the tech firm has about its users' lives. "When you have AI agents doing things for you, those agents are going to need data," Milanesi said. "To get access to that data, you're going to have to pay." For example, Google knowing the kinds of restaurants or places someone has searched for online would have value for targeting ads, she said. Making money from AI tools and data could help Google diversify revenue sources at a time when its ad business is under pressure from regulators, according to Milanesi. "There could be entirely new business models around how a brand connects into those AI results," said Beharry Lall. "In the long run, it's going to be additive and beneficial to Google." How Google and other platforms make clear the difference between paid messaging and organic results generated by AI "is going to be the $64 million question," Beharry Lall said. "It'll be incumbent on regulatory bodies to develop guidelines," the analyst said. © 2025 AFP
The Star
22-05-2025
- Business
- The Star
Ads pressured to evolve as AI changes Google search
Google CEO Sundar Pichai addresses the crowd during Google's annual I/O developers conference in Mountain View, California on May 20, 2025. The Internet giant is dabbling with ads in its new AI Mode for online search, a strategic move to fend off competition from ChatGPT while adapting its advertising business for an AI age. — AFP SAN FRANCISCO: As Google races to lead in artificial intelligence, it faces the challenge of making sure the technology doesn't slow its profit-pumping advertising engine. The Internet giant is dabbling with ads in its new AI Mode for online search, a strategic move to fend off competition from ChatGPT while adapting its advertising business for an AI age. "There's no question that AI is becoming more commonplace as a source for answers," IDC advertising and marketing technology research director Roger Beharry Lall told AFP. "That will inevitably result in a shift in terms of search and the opportunities to promote a brand." The integration of advertising has been a key question accompanying the rise of generative AI chatbots, which have largely avoided interrupting the user experience with marketing messages. However, advertising remains Google's financial bedrock, accounting for more than two-thirds of its revenue. "Google certainly needs to find a way to monetise AI search in the way that it has monetised its past versions of search," Techsponential analyst Avi Greengart told AFP at the tech giant's annual developers conference this week. AI-fueled ads A new AI Mode enables conversational interaction with Google during search queries, providing answers in diverse formats, such as video, audio or graphs. The Internet giant said it is testing integrating ads into AI Mode responses, building on insights gained from AI-generated summaries, or "Overviews," introduced to search results a year ago. These Overviews display comprehensive AI-generated summaries of results above traditional website links and ads. "The future of advertising fueled by AI isn't coming – it's already here," stated Vidhya Srinivasan, Google's vice president of Ads & Commerce. "We're reimagining the future of ads and shopping: Ads that don't interrupt, but help customers discover a product or service." Google is extending ads in AI Overviews to desktop in the US, following successful mobile implementations. More than 1.5 billion users see AI Overviews monthly, according to the company. "Google's doing very good job of adapting," Beharry Lall said. "The move right now is to experiment and to gain traction, just as they have." Google's aggressive push into generative AI intensifies its competition with OpenAI's ChatGPT, which added search engine capabilities to its popular chatbot. AI ad tools too Google announced it is making AI tools available to streamline the creation of online ads, mirroring similar initiatives by Facebook-owner Meta, Google's primary rival in online advertising. New features, available in the United States, will enable merchants to leverage AI for effective marketing campaigns and to "power an algorithm capable of targeting new searches and generating additional conversions," Google said. "AI helps a lot in advertising as far as targeting customers more precisely," Creative Strategies analyst Carolina Milanesi told AFP. Google should have opportunities to charge for AI tools for ad campaigns, and even for insights from data the tech firm has about its users' lives. "When you have AI agents doing things for you, those agents are going to need data," Milanesi said. "To get access to that data, you're going to have to pay." For example, Google knowing the kinds of restaurants or places someone has searched for online would have value for targeting ads, she said. Making money from AI tools and data could help Google diversify revenue sources at a time when its ad business is under pressure from regulators, according to Milanesi. "There could be entirely new business models around how a brand connects into those AI results," said Beharry Lall. "In the long run, it's going to be additive and beneficial to Google." How Google and other platforms make clear the difference between paid messaging and organic results generated by AI "is going to be the US$64mil (RM 272.89mil) question", Beharry Lall said. "It'll be incumbent on regulatory bodies to develop guidelines," the analyst said. – AFP
The Sun
22-05-2025
- Business
- The Sun
Ads pressured to evolve as AI changes Google search
As Google races to lead in artificial intelligence, it faces the challenge of making sure the technology doesn't slow its profit-pumping advertising engine. The internet giant is dabbling with ads in its new AI Mode for online search, a strategic move to fend off competition from ChatGPT while adapting its advertising business for an AI age. 'There's no question that AI is becoming more commonplace as a source for answers,' IDC advertising and marketing technology research director Roger Beharry Lall told AFP. 'That will inevitably result in a shift in terms of search and the opportunities to promote a brand.' The integration of advertising has been a key question accompanying the rise of generative AI chatbots, which have largely avoided interrupting the user experience with marketing messages. However, advertising remains Google's financial bedrock, accounting for more than two-thirds of its revenue. 'Google certainly needs to find a way to monetize AI search in the way that it has monetized its past versions of search,' Techsponential analyst Avi Greengart told AFP at the tech giant's annual developers conference this week. AI-fueled ads A new AI Mode enables conversational interaction with Google during search queries, providing answers in diverse formats, such as video, audio or graphs. The internet giant said it is testing integrating ads into AI Mode responses, building on insights gained from AI-generated summaries, or 'Overviews,' introduced to search results a year ago. These Overviews display comprehensive AI-generated summaries of results above traditional website links and ads. 'The future of advertising fueled by AI isn't coming - it's already here,' stated Vidhya Srinivasan, Google's vice president of Ads & Commerce. 'We're reimagining the future of ads and shopping: Ads that don't interrupt, but help customers discover a product or service.' Google is extending ads in AI Overviews to desktop in the US, following successful mobile implementations. More than 1.5 billion users see AI Overviews monthly, according to the company. 'Google's doing very good job of adapting,' Beharry Lall said. 'The move right now is to experiment and to gain traction, just as they have.' Google's aggressive push into generative AI intensifies its competition with OpenAI's ChatGPT, which added search engine capabilities to its popular chatbot. AI ad tools too Google announced it is making AI tools available to streamline the creation of online ads, mirroring similar initiatives by Facebook-owner Meta, Google's primary rival in online advertising. New features, available in the United States, will enable merchants to leverage AI for effective marketing campaigns and to 'power an algorithm capable of targeting new searches and generating additional conversions,' Google said. 'AI helps a lot in advertising as far as targeting customers more precisely,' Creative Strategies analyst Carolina Milanesi told AFP. Google should have opportunities to charge for AI tools for ad campaigns, and even for insights from data the tech firm has about its users' lives. 'When you have AI agents doing things for you, those agents are going to need data,' Milanesi said. 'To get access to that data, you're going to have to pay.' For example, Google knowing the kinds of restaurants or places someone has searched for online would have value for targeting ads, she said. Making money from AI tools and data could help Google diversify revenue sources at a time when its ad business is under pressure from regulators, according to Milanesi. 'There could be entirely new business models around how a brand connects into those AI results,' said Beharry Lall. 'In the long run, it's going to be additive and beneficial to Google.' How Google and other platforms make clear the difference between paid messaging and organic results generated by AI 'is going to be the $64 million question,' Beharry Lall said. 'It'll be incumbent on regulatory bodies to develop guidelines,' the analyst said.
