🪧 Google's plan for ads in AI Mode

Today’s Insights

✦ Feature: New formats for Google Search
✦ Threads grew users 50%
✦ Musk launched Grokipedia
✦ Lovable, Shopify partner
✦ Q3 ad spend surged

Feature

Google confirmed it’s running ad experiments inside AI Mode and its broader AI experiences. VP of Product Robbie Stein said the company is developing “new and novel ad formats” designed for how people actually use AI search.

These formats will need to work differently.

Stein revealed that users ask questions nearly three times longer in AI Mode than in traditional search, often having multi-turn conversations that reveal progressively more detail about what they want.

Under the hood

Google’s AI uses what Stein calls a query fanout technique. AI interprets a user’s question, breaks it into dozens of related queries, and then “literally uses Google Search as a tool” and “does Googling under the hood” to gather results. That deeper understanding of intent creates new opportunities for more precisely targeted ads.

When it comes to SEO or AEO

Stein emphasized that AI recommendations remain organic, with no ad inputs influencing results. But the rules for visibility are changing. “The AI thinks a lot like a person would,” he said. “If your business is mentioned in top lists or public articles that lots of people find, those signals help the AI discover you.”

Mentions in credible publications and industry rankings could matter more than ever because that’s also how the AI finds and trusts information.

What we learned

In short, AI Mode is rewriting the rules for ads. But similar factors that make a brand credible in traditional SEO will help make it discoverable to Google’s AI.

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🧩 Google added ‘Query groups’ to Google Search Console

The new Search Console Insights feature uses AI to group related queries under a single user intent. It aims to enable site owners to see and track performance of search themes instead of analyzing dozens of individual, similar queries.

📈 Threads surpasses 150 million daily active users

That’s a 50% jump from the 100 million Meta reported in December. Meta credits AI-powered recommendations for the surge in engagement and says time spent on Threads rose by 10% in Q3.

🗺️ Apple plans to introduce ads in Maps next year

According to Bloomberg, the company is developing a system that lets local businesses pay for promoted listings in Maps search results.

🚀 Lovable and Shopify launched an AI-powered store builder

The new integration allows brands to create complete online stores by describing what they want using prompts. Lovable’s AI automatically generates storefronts, checkout flows, and product pages, which users can then customize and publish on Shopify.

🧠 Elon Musk’s xAI launches Grokipedia

The new encyclopedia uses xAI’s generative assistant, Grok, to create and organize articles with AI. Musk says the open-source platform aims to deliver unbiased information as an alternative to Wikipedia. Grokipedia is now live in version 0.1, featuring over 885,000 articles.

💰 Ad spend surged in Q3

Google’s ad revenue rose 12% to $74 billion, while Meta’s jumped 26% to $50 billion. Amazon also grew 24% to $18 billion, with Microsoft seeing a 16% rise in its search and news advertising segment. 

Reddit led in growth rate, up 74% YoY to $549 million, and Netflix says it more than doubled its ad revenue.

Thanks for reading

✦ Don’t forget, on this Thursday (11 November) to join a half-day of free micro workshops, hosted by Section. You’ll learn how to build LLM automations, design agentic workflows, and try out vibe coding.

✦ Wynter is looking for Senior Marketers to give feedback on other B2B websites, ads, and messaging. Their surveys take 2-10 minutes. And they pay up to $50. (US/Canada based).

We’ll be back next week!