Google Outlines AI Ads Strategy as Gemini Hits 750M Users

Google SVP Nick Fox outlined the company's three-part AI advertising strategy, confirming that learnings from ads in AI Mode would "likely carry over" to Gemini's 750 million monthly active users. Fox said Google is "not ruling out" ads in Gemini, positioning AI Mode as the testing ground for formats that could eventually expand across the company's AI products. The statements were made in an interview with WIRED.

Google's three-part AI ads framework

Fox described Google's AI advertising approach in three layers. The first focuses on improving core ad quality predictions using AI models, making existing ad placements more effective. The second involves building AI-powered tools that help advertisers generate creative assets and keywords. The third is experimenting with ads in new AI experiences, starting with AI Mode.

That sequencing matters. Google is testing ad formats in AI Mode first, where the product is an extension of Search, before bringing them to Gemini, which operates as a standalone conversational AI. Fox framed the approach as iterative: build the consumer product first, then figure out monetization.

Gemini's growth and the monetization question

Gemini now has 750 million monthly active users, up from 350 million in March 2025. That growth doubles the platform's user base in under a year and positions it as one of the largest AI consumer products alongside ChatGPT, which OpenAI reports has 900 million weekly active users.

Despite that scale, Google has the financial cushion to move slowly. Alphabet crossed $400 billion in annual revenue for the first time in 2025, and the company's ad business already generates more than $265 billion annually. Fox argued that "users actually like ads within the context of Search," suggesting Google sees strong ad acceptance based on two decades of data.

OpenAI has taken a faster approach, launching ads in ChatGPT on the free and Go tiers and partnering with Criteo as its first ad tech partner. Perplexity moved in the opposite direction, pulling back from ad experiments partly over user trust concerns.

The Personal Intelligence question

Fox also addressed how Google's Personal Intelligence feature, launched in January 2026, might intersect with advertising. The opt-in feature connects Gmail, Photos, and Calendar to provide more personalized responses. When asked whether that personal data could influence Search ads, Fox said it was "TBD," adding that private information would stay private but that targeting could be "contextually consistent."

That response leaves the door open for a future where personal context shapes ad relevance without directly exposing user data. For advertisers, it signals a potential targeting layer that goes beyond search queries and browsing behavior.

What this means for advertisers

Google's measured approach contrasts with the speed at which competitors are building AI ad businesses. The company's previous denial of Gemini ads, made in December 2025 when Google VP Dan Taylor called similar reports "inaccurate claims," has shifted to a more open posture. Fox's "not ruling out" language, combined with the explicit link between AI Mode learnings and Gemini, gives advertisers a clearer signal that Gemini ad inventory is part of Google's longer-term roadmap.

The practical takeaway: advertisers testing ads and shopping formats in AI Mode are likely previewing the formats that will eventually reach Gemini's 750 million users.