Google begins testing new version of AI search, which will revolutionize more than just search

Google testing new AI search version, will revolutionize beyond search

Google announced at the conference the new version of its search engine, SGE (Search Generative Experience), which incorporates AI elements. The new search function will not only change the user search experience, but also have a significant impact on e-commerce and advertising.

It is reported that in AI search, after a user searches for a question, Google will not only provide a detailed answer to the initial query, but also provide extended answers and search result links.

In terms of shopping search, Google’s AI search will use more than 35 billion product listings in Google Shopping charts. Users can simultaneously view the latest product reviews, ratings, prices, product descriptions and product images.

In an example shared at the conference, when a user searched for a bike suitable for short-distance and multi-slope commuting, the AI-powered search answered recommendations about design, suspension, and motor, and provided a list of product listings. In addition, users can further explore other suggestions about buying an electric bike.

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In terms of advertising, Google stated that ads will appear in the dedicated position of AI-generated responses, similar to traditional search results. The ad content will be displayed in bold black text and labeled with a “sponsored” tag to distinguish it from natural search results.

Google stated that it will implement advertising in a “thoughtful and responsible” manner and mentioned its history of using AI in advertising products, including its actively promoted PerformanceMax advertising tool.

Currently, Google’s new search engine, SGE (Search Generative Experience), is not yet open. Those interested in trying out these features and providing feedback can join the waiting list. Access will be open in the coming weeks, with initial testing only available in the United States and supporting only English.

SGE is only one of several AI-related announcements made at this year’s I/O conference, but it is of great significance to Google’s core business. Search is the company’s largest advertising revenue department, but with increased competition and a sluggish economy leading to weak demand from advertisers, growth in this area has slowed down.

According to IAB data, the total revenue of search advertising increased by 7.8% in 2022, while Google’s search revenue only increased by 2% in the first quarter of 2023, and the overall advertising revenue continued to decline year-on-year for the second consecutive quarter.

For brands and users, AI-driven search still needs to adapt, as it provides longer answers in a conversational way and compresses multiple sources of information together. Generative AI has been proven to make mistakes in certain situations, which further raises concerns about tech companies pushing this technology to the fullest.

Google said it has taken some security measures, such as limiting the types of queries that may appear. In the blog post, Google also attempted to dispel potential concerns from publishers, claiming that AI-generated answers are designed to help guide users’ attention to external sources.

Google will further introduce advertising content in AI-driven search at the marketing conference on May 23.

Editor ✎ Ashley/BusinessDialogue

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