Google is set to introduce advertisements in AI Overviews, the AI-generated summaries it provides for certain search queries. This update will also include links to relevant web pages within some of these summaries. Additionally, Google is rolling out AI-organized search results pages across the U.S. this week.
The increased visibility of AI in Google’s search functionality aims to prevent users from moving to alternative platforms like OpenAI’s ChatGPT or Perplexity, which utilize AI to respond to questions typically directed at Google. Notably, Perplexity reported over 85 million web visits globally in May, a significant achievement given it was only launched two years ago.
Since its debut this spring, AI Overviews has stirred considerable debate, often going viral for its inaccurate claims and odd recommendations—like suggesting glue for pizza. A recent report from SE Ranking, an SEO platform, revealed that AI Overviews frequently references sources that lack reliability, including outdated studies and sponsored product listings.
The main challenge is that AI Overviews sometimes struggles to differentiate between factual information and fiction or satire. In response, Google has made modifications to enhance AI Overviews, such as restricting answers related to current events and health topics, although it acknowledges that the issue is not fully resolved.
"We will invest in AI Overviews to make it more beneficial for users," stated Rhiannon Bell, VP of user experience for Google Search, during a press briefing. "Our goal is to provide users with the most accurate content."
Despite criticisms, Google reports that AI Overviews have increased user engagement in Google Search, particularly among the crucial 18 to 24 age demographic. To further monetize this feature, Google is integrating ads into AI Overviews.
U.S. mobile users will start seeing ads in AI Overviews for relevant queries, such as finding solutions to remove grass stains from jeans. These ads, marked "Sponsored," will appear alongside organic content in the AI summaries and will come from existing Google Shopping and Search campaigns.
Previously, a select group of users had access to AI Overviews ads, and internal data indicates positive reception. "Users appreciate the ads in AI Overviews as they quickly connect with relevant businesses, products, and services when they need them," noted Shashi Thakur, VP of Google Ads, in a blog post.
However, the presence of ads can clutter AI Overviews. One format, a carousel of sponsored products, is embedded within the summaries, causing organic content to be pushed further down.
The redesigned AI Overviews will also feature highlighted links to relevant web pages. For instance, if a user searches, "Do air filters protect your lungs?" the AI Overview may direct them to a study from the American Lung Association.
This new design is being rolled out in regions where AI Overviews are already available, including India, Brazil, Japan, Mexico, the U.S., and the U.K.
Additionally, a separate initiative, AI-organized search results pages, will launch for mobile users in the U.S. this week. Searches for recipes and meal ideas—like "What are some good vegetarian appetizers or dinner ideas?"—will yield a comprehensive, AI-curated page featuring content from various sources, including forums, articles, and YouTube videos.
Importantly, these AI-organized result pages will not include ad formats like those found in AI Overviews. "The customized Gemini model generates a full-page experience with relevant, organized results," explained Bell, referring to Google’s Gemini AI models. "These AI-organized pages showcase a wider array of content formats."
Looking ahead, Google plans to expand these AI-organized pages to a broader range of search categories in the coming months.
However, publishers may face challenges. A study indicated that AI Overviews could adversely impact around 25% of publisher traffic due to a reduced emphasis on web page links. On the revenue side, an expert cited by The New York Post estimated that these AI-generated overviews could result in over $2 billion in lost revenue for publishers due to fewer ad views.
Currently, AI-generated search results from Google and its competitors haven't dramatically affected the traffic of major publishers. In their latest earnings reports, companies like Ziff Davis and Dotdash Meredith parent IAC referred to the impacts as minimal.
That said, as Google—commanding over 81% of the global search market—expands AI Overviews and AI-organized pages to more users, this situation might change. As of July, it was reported that AI Overviews were only displaying for approximately 7% of searches as Google adjusted the feature to improve it.
Google remains focused on addressing publishers' concerns while developing its AI search capabilities.
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