AI Search Shifts Are Redrawing the Map for Digital Advertising

The search business is no longer just Google’s playground. In the past few weeks alone, three moves have signalled how quickly the ground is shifting: Google rolled out AI Mode to billions of users, Meta quietly advanced plans for its own AI-driven search product, and TikTok doubled down on its search ad business. Together, these developments mark a turning point for brands, agencies, and anyone who relies on search to reach consumers.

Google’s AI Mode: Answers First, Clicks Later

For Google, the recent few months have been a showcase of how far it’s willing to lean into AI to defend its turf. AI Mode—powered by the company’s Gemini model—has gone live globally, placing conversational AI summaries at the top of search results. Users can now interact with Google as if it were a chat assistant, asking follow-ups and refining queries without leaving the page.

The move is good news for users who want fast, context-rich answers. For publishers and marketers? Less so. Early data shows click-through rates for sites sitting below AI overviews have dropped sharply, in some cases by more than 50%. This “zero-click” dynamic is not new, but AI Mode is accelerating it.

At the same time, Google insists advertisers have nothing to fear. Ads are now being woven directly into these AI answers—shopping placements and search ads appear inside summaries rather than just around them. And with AI Max, a new campaign type that uses AI to match creative with intent (without relying on explicit keywords), Google is signalling that the old rules of SEM are being rewritten. Advertisers already testing AI Max are reporting double-digit performance lifts, but they’re also surrendering more control to the black box.

The message is clear: in Google’s AI-first search world, visibility will depend less on where you rank and more on whether the algorithm chooses to surface you in its answer.

Meta and TikTok Eye Search Budgets

While Google fortifies its position, Meta and TikTok are moving aggressively to chip away at it.

Meta, which has long hinted at its ambition to automate advertising across its platforms, is now quietly testing AI-powered search across Instagram and Facebook. Agency executives say the company is laying the groundwork for a search product that improves discovery and also creates new ad inventory. Instagram’s search functionality has already improved noticeably, a likely preview of what’s to come. The endgame? Keep users—and ad dollars—inside Meta’s walls.

TikTok is taking a more direct approach. Its search ads business is now a growth engine. Brands can now target high-intent queries with keyword-based campaigns that sit directly within TikTok’s search results. Agencies report adoption has doubled in recent months, with some brands seeing lower CPAs and higher engagement when combining TikTok search with upper-funnel social spend. Importantly, these campaigns don’t just drive TikTok conversions—they also appear to lift Google search performance downstream, suggesting the two channels feed each other rather than cannibalize.

For Gen Z, the search journey increasingly starts on TikTok or Instagram. For brands, that means search is no longer synonymous with Google.

Big Tech Moves Fast to Own Discovery and Intent

Behind these moves is a shared strategy among tech giants: own the discovery moment and monetize it with AI.

• Google is embedding ads into AI answers to keep revenue flowing as traditional search clicks decline.

• Meta wants to turn its social feeds into intent engines, powered by generative AI.

• TikTok is betting that its search ads, tied to creator-driven content, will become an essential part of the funnel.

• Even Amazon is flexing—recently pulling back on Google Shopping ads in what some see as a test of how much traffic it can capture on its own platform.

What This Means for Marketers

For brands, these shifts demand a rethink of both strategy and measurement. The search landscape is fragmenting and user behavior is changing.

1. SEO must adapt to AI answers. It’s about being cited in AI summaries. That means producing authoritative, structured content that algorithms trust enough to feature.

2. SEM is becoming intent marketing. With AI Max and conversational search, keywords matter less than context. Advertisers must learn to brief algorithms, not just bid on phrases.

3. Budgets need to diversify. Social search isn’t a sideshow anymore. TikTok search ads and soon Meta’s search placements are opening new paths to high-intent audiences.

4. KPIs are shifting. As AI keeps users on the platform, clicks may drop—but brand mentions, visibility in answers, and downstream search lifts become just as important.

5. Experimentation is critical. This is a moving target. Marketers who test early on TikTok search or pilot AI Mode ad formats with Google will have a data edge when competition heats up.

Why the Future of Search Will Reward Those Who Adapt

Search is a distributed, AI-driven experience across platforms. For Google, the challenge is to innovate without losing advertiser trust. And for Meta and TikTok, the prize is to turn their massive user bases into intent engines that steal search budgets.