Google expands AI Search ads globally as Search growth slows

What happened: Google announced on its Q3 earnings call on 28 October that ads in AI Mode will go global for the first time. Ads within AI Overviews are also being scaled to more users and queries.

The numbers: Google Search revenue grew 12% year over year in Q3, down from 17% in Q2 and 19% in Q1. Alphabet's total revenue was $127.6 billion, up 25%. Google Services, which includes Search, reached $96.3 billion, up 11%. Alphabet shares fell 8% after the results.

The details: The article does not name any countries. Google has not given the timing or list of markets for the international rollout. TechCrunch reports that ads go to AI Mode in the U.S. as well as globally, with multi-turn ads also rolling out.

Why it matters: Google is moving ads deeper into AI-generated answers. Philipp Schindler, Google's chief business officer, said the company is "taking our monetization footprint global for the first time."

The early signal: Click-through rates for sponsored product listings in AI Mode are already comparable to those for organic listings, Schindler said.

In their words: Sundar Pichai, Google's CEO, said Search "is bringing the benefits of AI to more people than any other product in the world."

What's next: Google has not said when the international rollout will start or which markets come first.