Google’s always pushing the envelope with ads, and now they’re eyeing a new frontier: sponsored formats in their AI Mode conversational search. The company is confirming plans to explore ads in this beta feature, drawing lessons from AI Overviews where sponsored content already pops up.

AI Mode handles complex queries by running multiple searches at once, making it different from simpler AI Overviews. No ads are showing up yet, but it’s clear Google sees this as a moneymaking opportunity for their AI search tools. Still, advertisers are raising eyebrows.

Skepticism runs deep among advertisers, worried that AI Mode’s chatty interface will tank ad performance. Users might get full answers without clicking, slashing click-through rates. Oh, great, more intrusive ads in a conversation that feels personal—experts predict it’ll feel pushy compared to AI Overview spots.

With potential premium pricing, costs per click could skyrocket, hurting return on ad spend. Advertisers aren’t thrilled; it’s like Google saying, “Trust us,” while keeping things vague.

Then there’s the buzz about new ad formats, aiming to grab attention with visuals like images and product descriptions. In AI Overviews, ads slip in under a “Sponsored” label, pulled from existing campaigns, and Google might add spots above or within the chat.

Imagine swipeable feeds for shopping, mixing ads with real results—sounds engaging, but is it just a flashy distraction? Advertisers fear it won’t work as well, especially in apparel searches.

Performance Max is in the mix too, Google’s AI-driven ad system, but it’s a black box of headaches. Concerns over transparency, like unclear audience targeting and rising costs, persist despite updates for better control.

AI tools for generating ad copy and images? Handy, sure, but advertisers must review everything to avoid policy snafus. Despite concerns, ads in AI Overviews have already seen positive consumer response from users. Lessons from existing ads will shape how Google integrates advertising into AI Mode, potentially improving relevance based on past experiences. It’s all evolving, yet the worries linger—will this new format deliver, or just add more frustration? Google’s innovating, but at what cost to everyone else?