Native Ads Coming Soon to Gemini, Hints Sundar Pichai

Marco Huels
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February 7, 2025

Why it matters: Google’s Gemini AI could soon join YouTube, Search, and Gmail in featuring ads, as CEO Sundar Pichai hints at monetizing its costly generative AI tools.

‍The big picture: Alphabet’s $75B annual AI investment isn’t charity — ads could subsidize free Gemini tiers, mirroring its ad-supported empire, while subscriptions offer ad-free perks.

‍Between the lines: Google’s already testing AI-ad fusion in Search AI Overviews (e.g., detergent ads in stain-removal tips) — expect Gemini to follow with subtle product plugs or post-chat sponsored links.

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Pichai’s playbook:“We have very good ideas for native ad concepts... we'll lead with user experience,” he told investors, signaling a YouTube-like model: free (with ads) vs. premium (ad-free).

‍Yes, but: Forced mid-chat ads might annoy users, but Google’s mastered blending ads into UX — think “sponsored” results in searches.

‍Meanwhile… Microsoft’s Copilot, Perplexity, and Amazon’s Rufus are also experimenting with AI-driven ad formats.

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