AI Platforms Build New Ad Economy: Conversational Interfaces Lead Shift

• AI platforms are developing a new advertising economy by blending ads, subscriptions, API usage, and commerce, as AI assistants become central to search and decision-making.
• Google's AI Overviews already show how ads will integrate into conversational interfaces, leveraging existing Search and Shopping systems, with Gemini poised as a high-intent surface.
• Advertising in AI assistants will likely feature formats adjacent to answers, such as sponsored next steps and product suggestions, to maintain user trust and avoid blurring organic and paid content.
• The commercial shift means "moments" within conversations become ad slots, creating more contextually valuable inventory and attracting premium bidding based on multi-turn interactions.
• AI platforms are expected to monetize through four main pillars: subscriptions, ads, affiliate commissions (especially for high-intent moments), and API usage.

Why It Matters: AI is fundamentally reshaping online advertising and the internet's economic landscape.