Google’s Gemini AI: The Future of Advertising in AI Assistants?

The Road to Advertising

Google’s Gemini AI might not have ads just yet, but it’s only a matter of time before the company finds a way to insert them into the mix. After all, Google has a long history of turning eyeballs into revenue, and Gemini is likely to be the next in line. During Alphabet’s latest investor call, CEO Sundar Pichai hinted that while you can use Gemini for free or pay for a subscription to extra features, advertising will likely play a role in boosting the company’s bottom line.

The Business of AI

AI isn’t cheap to run, and Google has already announced plans to spend $75 billion this year to stay ahead in the AI race. That kind of money doesn’t grow on trees; it grows on ad revenue. It makes sense that Google would look to ads to support the free version of Gemini, with the premium subscription offering ad-free conversations as a perk.

Native Ads and User Experience

Pichai emphasized the importance of user experience, stating that Google will “lead with user experience” when it comes to advertising. The company is already experimenting with native ad concepts, and it’s likely that these ads will be designed to blend seamlessly into the conversation. As Pichai said, “We do have very good ideas for native ad concepts, but you’ll see us lead with the user experience.”

A Preview of Ads in AI

If you want a sneak peek at how ads might look in Gemini, take a look at Google’s AI Overviews. These AI-generated search summaries already discreetly insert sponsored results. Search for “best ways to remove grass stains,” and you might see a link to buy a specific detergent. It’s not exactly subtle, but it’s a sign of things to come.

Competition and the Future of Ads in AI

Google isn’t the only company experimenting with ads in AI. Microsoft has been playing with ads in its Copilot AI chatbot, and Perplexity has been testing sponsored follow-up questions. Amazon has also pursued a similar strategy, offering sponsored suggestions for purchases through its Rufus AI chatbot. As ads become more prevalent in AI, it’s likely that users will have to decide whether they’re willing to tolerate mid-chat sponsored messages or opt out altogether.

What’s Next for Gemini?

Will you still want to converse with Gemini if it starts recommending products based on your conversations? Only time will tell. But one thing is certain: Google will claim that the ads will “enhance the user experience.”