Google hasn’t figured out how to make AI pay like its search engine
Source: The Verge (opens in a new tab) · Rani Molla
Intel Summary
Alphabet reported that while Google search queries grew at their fastest pace in five years during the third quarter, search revenue growth slowed to 12 percent year over year, down from approximately 17 percent the previous quarter, alongside shifts in paid ad clicks as AI integration expands.
Why It Matters
The divergence between surging query volumes and slowing search revenue growth underscores the economic friction in transitioning traditional ad-supported search to AI-driven query formats, posing monetization challenges for digital advertising business models.
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