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Quick Read SummaryAs Google continues evolving its search experience with AI, one thing remains unchanged: advertising is essential to its business model. In an interview, Robby Stein, Google's VP of Product for Search, confirmed that ads will continue to play a central role, despite the rise of generative AI features. The integration of AI will create new opportunities for advertisers to engage users in more advanced ways while maintaining transparency and user trust.
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As Google continues to evolve its core products with generative AI, one thing remains unchanged: advertising is still central to the company’s business model. In a recent interview on the Silicon Valley Girl podcast, Robby Stein, Google’s Vice President of Product for Search, reaffirmed that Google Ads are not going away, even as AI-driven features reshape how people interact with search results.
With the rise of AI-powered search, many advertisers and publishers have raised concerns about visibility, traffic, and the future of monetization. Google’s latest statements, however, make it clear: ads remain central, and new formats are on the way.
When asked whether ads might disappear from search in the age of AI, Stein’s answer was definitive: “Don’t see them going away.” He explained that while the nature of Google Search is evolving, it isn’t being replaced. Instead, user behavior is “expanding.”
People still turn to Google for essential needs, finding local businesses, comparing consumer products, or researching travel, but now do so in more advanced ways. Thanks to generative AI, users can ask detailed questions, upload images to find similar products, or get summary overviews powered by AI Mode.
These expanded capabilities, Stein said, open new opportunities for advertisers to engage users where they are. The core use case of search remains transactional and informational, both of which are key drivers of advertising performance.
As part of its transition into AI-driven search, Google has begun experimenting with ads inside its new AI interfaces. Users may already notice Sponsored labels in AI Overviews, summarized search responses generated by AI, signaling the beginning of a broader rollout.
This is part of what Stein described as “early testing,” with Google cautiously evaluating how ads can appear in these new contexts without compromising user experience. The goal is to ensure ads feel relevant, helpful, and non-disruptive, while still generating the revenue that fuels Google’s services.
Significantly, these changes mark a shift from traditional placements (text ads alongside results) toward more context-aware formats embedded directly in AI interactions.
One of the most pressing concerns from advertisers is whether their paid campaigns might influence AI recommendations. Stein addressed this directly: the AI-generated answers do not use advertising data. Instead, AI responses are derived entirely from web content and Google’s internal knowledge systems.
This separation is key to maintaining trust. It means that when users engage with Google AI experiences, they can be confident that recommendations are not “pay-to-play.” At the same time, any paid content is clearly marked as “Sponsored,” maintaining a clear boundary between organic results and Google Ads.
Looking ahead, Google is planning to introduce new ad formats tailored for the AI era. According to Stein, these could include conversational ads that surface within more prolonged interactions, or visual ad placements that integrate with image-based queries.
For example, imagine a user planning a kitchen remodel through an AI chat. Instead of displaying static ads, Google might show relevant sponsored options, such as contractors, tools, and appliances, within the AI-generated recommendations. These would be designed to assist the user’s task, rather than interrupt it.
This is especially important as AI Mode becomes a more prominent part of search. In a generative context, ads need to be woven into the experience naturally and add real value, something Google is actively testing.
Despite concerns that AI is eating into traditional search use, Google’s financials tell a different story. In Q3 2025, search ad revenue hit $74 billion, a 12% year-over-year increase. According to Google, AI features contributed to this growth by enhancing engagement and expanding how users interact with the platform.
In Stein’s view, this proves that AI-powered search is not a threat to ads, it’s an opportunity. People are searching more broadly and more often, creating more moments for advertisers to connect with audiences.
This aligns with broader industry trends. As platforms like OpenAI’s ChatGPT also explore ad models to support free services, the challenge will be designing monetization systems that don’t compromise user trust. Google appears to be moving cautiously in that direction.
As Google continues testing AI-driven ads, the landscape of search advertising will shift. Formats will evolve, targeting will become more contextual, and success will depend on delivering real value in new environments.
But the core principles remain: meet users where they are, provide helpful content, and stay transparent. Google’s AI push doesn’t mean the end of advertising; it means marketers must adapt, just as users are doing.
With Google Search transforming into a generative AI platform, ads aren’t being phased out; they’re being reimagined.
