Google Expands AI‑Powered Search Ads to International Markets

During Alphabet’s third‑quarter earnings call, Google announced it will roll out its AI‑mode search advertising formats—such as multi‑turn ads and conversational discovery ads powered by Gemini—across international markets for the first time. The company said early data shows click‑through rates for sponsored product listings in AI mode match those of organic results, and user research indicates the ads are perceived as relevant. The expansion follows a slowdown in core search ad growth, which fell from 19% in Q1 to 12% in Q3, prompting Google to seek new revenue streams from its expanding AI features. Alphabet reported $127.6 billion in revenue, a 25% year‑over‑year increase, while Google Services revenue rose 11% to $96.3 billion and Google Cloud revenue surged 103% to $30.7 billion.