Google is expanding ads in its AI Mode search tool to ten more countries. The company announced the move on October 28, 2026. Alphabet reported third-quarter results the same day.
Search revenue grew more slowly in the quarter and Google says AI Mode played a part. Consequently, advertisers and investors want to know whether AI driven search can earn as much as classic search.
Google Takes AI Mode Ads Global
Ads in AI Mode are scaling across ten new countries. They include Australia, Canada, India, Kenya, Malaysia, New Zealand, Nigeria, Pakistan, the Philippines, and Singapore. In addition, the company launched ads in follow-up questions in the United States, so ads appear as users chat. Each ad carries a “Sponsored” label and Google plans to keep testing formats.
Moreover, the expansion comes as growth slows. Search revenue rose 12% to $63.35 billion in the third quarter. By comparison, growth was 19% in the first quarter and 17% in the second. Revenue also stayed flat against the second quarter.
On the earnings call, chief business officer Philipp Schindler named currency swings, retail, and media spending first. He then added AI Mode, which he said earns less per search. Google did not say less than what, nor did the company say how much revenue the effect cost.
At the same time, chief executive Sundar Pichai said queries are growing at their fastest pace in five years. Even so, revenue growth lagged behind query growth. Schindler also noted most AI Mode queries come on top of existing searches. As a result, the company sees more chances to earn over time.
Advertisers and Investors Face a Revenue Test
For advertisers, joining takes little work. Existing Search, Shopping, and Performance Max campaigns qualify by default, and they cannot opt out separately. On the other hand, control stays limited. Advertisers cannot target AI Mode directly and standard reports blend its results with the rest of Search.
On the investors’ part, they want clear proof. Google says people click sponsored and organic product listings in AI Mode at similar rates. Yet, the figures come only from the United States and the company has not published the actual rates.
Brazil, Mexico and the UK Come Next
Moving forward, more launches will arrive in the fourth quarter of 2026. Google named Brazil, Mexico, and the United Kingdom, among other places. However, Google has not announced dates.
Still, the fourth quarter will not offer a clean test. Chief financial officer Anat Ashkenazi expects a slightly bigger currency drag and tougher comparisons with last year’s fast growth. Together, currency and comparisons may hide the effect of newly launched AI Mode ads.
Looking ahead, click data from the new markets will show how people respond to AI Mode ads. Ultimately, if AI Mode ads perform as well as classic ads, Search growth can pick up. Otherwise, the slowdown will last, and Google will need new ad formats.
