Google is allegedly considering a significant restructuring inside its 30,000-person ad sales team in order to accommodate the growing importance of artificial intelligence (AI) in its operations. However, this approach has raised worries about prospective job cutbacks, particularly in light of Google’s recent layoffs, which affected over 12,000 people in 2023.
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This reorganization is consistent with Google’s increasing reliance on machine-learning algorithms to expedite ad purchasing across its different channels. Over the years, the internet titan has launched AI-powered technologies to automate the generation of new advertising, considerably contributing to its yearly income, which is believed to be in the tens of billions of dollars. These instruments’ efficiency, along with minimum staff engagement, results in significant profit margins.
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According to The Information, AI advancements at Google may result in job displacement, causing the company to consider staff consolidation and potential layoffs by reassigning employees to the customer sales unit, which is in charge of managing relationships with major advertisers. The decision to automate certain positions was apparently made during a Google Ads department-wide meeting.
Google announced in May a “new era of AI-powered ads,” bringing a natural-language conversational experience within Google advertisements. This program attempts to make ad campaign production easier by using AI to analyze web pages and produce keywords, headlines, descriptions, pictures, and other materials automatically.
Performance Max (PMax), a notable AI-powered ad solution, received updates after May, displaying generative AI capabilities to effectively develop and scale unique assets. PMax supports marketers in establishing effective ad placements across several Google Ads channels by creating ad content autonomously based on page scans. This dynamic AI-driven method enables real-time ad remixing, responding to click-through rates and maximizing performance.
As AI solutions like PMax gain popularity among advertisers, there is a notable decrease in the requirement for human interaction in ad creation and sales. The cost-effectiveness of AI solutions, which require less personnel supervision, boosts ad revenue profitability.
The proposed restructuring will affect a major chunk of the advertising division’s workers. According to the data, there were around 13,500 people working in sales a year ago. While the magnitude of the damage is unknown, future position reassignments inside Google are speculated. Official announcements about the scope and nature of the restructuring are expected in the next month, leaving staff prepared for possible changes in roles and responsibilities during this revolutionary period.