On October 28, 2026, Alphabet reported its Q3 2026 results, and buried inside a very large earnings call was a very specific signal for anyone running Google Ads: the company is pushing harder on advertising inside AI Mode and AI Overviews, right as its traditional Search ad growth is cooling off. If your business already advertises on Google Search in India, this is worth five minutes of your attention before you set next quarter’s budget.
Here is what was actually confirmed, what it means, and what remains genuinely open.
Alphabet’s Q3 2026 revenue reached $127.6 billion, up 25% year-over-year. But Google Search & other revenue — the number that matters most to advertisers — grew just 12% year-over-year, down from 17% in Q2 2026 and 19% in Q1 2026. Chief Business Officer Philipp Schindler gave three reasons for the slowdown: currency headwinds (the largest factor), Asia-Pacific retail advertisers adjusting after the EU ended its low-value import tax exemption, and a tougher year-over-year comparison following a strong second half of 2025.
Schindler also said something more revealing: strong query growth inside AI Mode is outpacing AI Mode’s revenue, because, in his words, “monetization in AI Mode is lower” than in traditional Search. In plain terms — people are using AI Mode a lot, but Google isn’t yet making as much money from those searches as it does from a classic results page.
Google’s response, announced the same day:
Separately, CEO Sundar Pichai said year-over-year query growth is “the highest it’s been in the last five years,” and that AI is driving growth in both overall and commercial queries. No exact growth percentage was given.
This is the part that matters most for Tejom Digital’s clients and readers: you are not waiting for AI Mode ads to arrive. Google’s own July 2025 Marketing Live India announcement confirmed that ads in AI Overviews, AI Max for Search campaigns, Performance Max in Retention-Only Mode, and Smart Bidding Exploration were all coming to India, alongside Hindi-language support. That rollout has been live for over a year.
What changed on October 28 is the scale and intent, not your access. Google is actively trying to close the gap between AI Mode’s usage growth and its revenue, which historically means more ad inventory, more ad formats, and — eventually — more competition for the same attention inside AI-generated answers. A surface that once felt experimental is now a stated revenue priority for Google.
Important limitation: Google has not confirmed that multi-turn ads, specifically, are coming to India yet. Treat any claim that they are already live here as unverified until Google states it directly.
Today, an AI Mode “conversation” can include several follow-up questions in one session. Multi-turn ads let Google place a relevant, labeled sponsored result at a later point in that back-and-forth — not only on the opening question. For an advertiser, that is a second (and third, and fourth) chance to appear inside a single user session, provided your campaign setup makes you eligible for AI-surface placements at all.
Don’t let shifting ad formats and AI Mode rollouts drain your search budget. Let our team at Tejom Digital audit your Google Ads setup, configure your AI Max campaigns, and keep your ROI strong in 2026.
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