GOOG 2Q25: Will AI Overview Generate Incremental Revenue for Google?

After writing a report on Google, Gemini, and Coding Agent in June, I still had many questions about AI Overview's impact on Google's ad revenue, especially given its low ad load in 2Q25-3Q25 despite strong CPC.

This comprehensive report is based on interviews with 12 experts and provides updates on:

1. Overall ad revenue trends for Q2 2025 and full-year 2025 expectations

2. AI Overview performance and implementation

3. AI Mode rollout and monetization potential

4. Performance Max, Conversational Ads, and other product innovations

5. Competitive impact from ChatGPT and Perplexity

6. Third-party research findings

7. Antitrust proceedings

8. Quarterly outlook

Overall Ad Business Growth

We recently spoke with five Google advertising agency experts. As this is our first quarter tracking Google budget performance, we lack historical data compared to META.