Google CEO Sundar Pichai speaks on-stage during the Google I/O keynote session at the Google Developers Conference in Mountain View, California, on May 10, 2023.
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Google‘s effort to rapidly add new artificial intelligence technology into its core products is making its way into the advertising world, CNBC has learned.
The company has given the green light to plans for using generative AI, fueled by large language models (LLMs), to automate advertising and ad-supported consumer services, according to internal documents.
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Last week, Google unveiled PaLM 2, its latest and most powerful LLM, trained on reams of text data that can come up with human-like responses to questions and commands. Certain groups within Google are now planning to use PaLM 2-powered tools to allow advertisers to generate their own media assets and to suggest videos for YouTube creators to make, documents show. .
Google has also been testing PaLM 2 for YouTube youth content for things like titles, and descriptions. For creators, the company has been using the technology to experiment with the idea of providing five video ideas based on topics that appear relevant.
With the AI chatbot craze speedily racing across the tech industry and capturing the fascination of Wall Street, Google and its peers, including Microsoft, Meta and Amazon, are rushing to embed their most sophisticated models in as many products as possible. The urgency has been particularly acute at Google since the public launch late last year of Microsoft-backed OpenAI’s ChatGPT raised concern that the future of internet search was suddenly up for grabs.
Meanwhile, Google has been mired in a multi-quarter stretch of muted revenue growth after almost two decades of consistent and rapid expansion. With fears of a recession building since last year, advertisers have been reeling in online marketing budgets, wreaking havoc on Google, Facebook and others. Specific to Google, paid search advertising conversion rates have decreased this year across most industries.
Beyond search, email and spreadsheets, Google wants to use generative AI offerings to increase spending to boost revenue and improve margins, according to the documents. An AI-powered customer support strategy could potentially run across more than 100 Google products, including, Google Play Store, Gmail, Android Search and Maps, the documents show.
Automated support chatbots could provide specific answers through simple, clear sentences and allow for follow-up questions to be asked before suggesting an advertising plan that would best suit an inquiring customer.
A Google spokesperson declined to comment.
Google recently offered Google Duet and Chat assistance, allowing people to use simple natural language to get answers on cloud-related questions, such as how to use certain cloud services or functions, or to get detailed implementation plans for their projects.
Google is also working on its own internal Stable Diffusion-like product for image creation, according to the documents. Stable Diffusion’s technology, similar to OpenAI’s DALL-E, can quickly render images in various styles with text-based direction from the user.
Google’s plan to push its latest AI models into advertising isn’t a surprise. Last week, Facebook parent Meta unveiled the AI Sandbox, a “testing playground” for advertisers to try out new generative AI-powered ad tools. The company also announced updates to Meta Advantage, its portfolio of automated tools and products that advertisers can use to enhance their campaigns.
On May 23, Google will be introducing new technologies for advertisers at its annual event, Google Marketing Live. The company hasn’t offered specifics about what it will be announcing, but it’s made clear that AI will be a central theme.
“You’ll discover how our AI-powered ads solutions can help multiply your marketing expertise and drive powerful business results in today’s changing economy,” the website for the event says.
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Google on Friday made the latest a splash in the AI talent wars, announcing an agreement to bring in Varun Mohan, co-founder and CEO of artificial intelligence coding startup Windsurf.
As part of the deal, Google will also hire other senior Windsurf research and development employees. Google is not investing in Windsurf, but the search giant will take a nonexclusive license to certain Windsurf technology, according to a person familiar with the matter. Windsurf remains free to license its technology to others.
“We’re excited to welcome some top AI coding talent from Windsurf’s team to Google DeepMind to advance our work in agentic coding,” a Google spokesperson wrote in an email. “We’re excited to continue bringing the benefits of Gemini to software developers everywhere.”
The deal between Google and Windsurf comes after the AI coding startup had been in talks with OpenAI for a $3 billion acquisition deal, CNBC reported in April. OpenAI did not immediately respond to a request for comment.
The move ratchets up the talent war in AI particularly among prominent companies. Meta has made lucrative job offers to several employees at OpenAI in recent weeks. Most notably, the Facebook parent added Scale AI founder Alexandr Wang to lead its AI strategy as part of a $14.3 billion investment into his startup.
Douglas Chen, another Windsurf co-founder, will be among those joining Google in the deal, Jeff Wang, the startup’s new interim CEO and its head of business for the past two years, wrote in a post on X.
“Most of Windsurf’s world-class team will continue to build the Windsurf product with the goal of maximizing its impact in the enterprise,” Wang wrote.
Windsurf has become more popular this year as an option for so-called vibe coding, which is the process of using new age AI tools to write code. Developers and non-developers have embraced the concept, leading to more revenue for Windsurf and competitors, such as Cursor, which OpenAI also looked at buying. All the interest has led investors to assign higher valuations to the startups.
This isn’t the first time Google has hired select people out of a startup. It did the same with Character.AI last summer. Amazon and Microsoft have also absorbed AI talent in this fashion, with the Adept and Inflection deals, respectively.
Microsoft is pushing an agent mode in its Visual Studio Code editor for vibe coding. In April, Microsoft CEO Satya Nadella said AI is composing as much of 30% of his company’s code.
The Verge reported the Google-Windsurf deal earlier on Friday.
Jensen Huang, CEO of Nvidia, holds a motherboard as he speaks during the Viva Technology conference dedicated to innovation and startups at Porte de Versailles exhibition center in Paris, France, on June 11, 2025.
The sale, which totals 225,000 shares, comes as part of Huang’s previously adopted plan in March to unload up to 6 million shares of Nvidia through the end of the year. He sold his first batch of stock from the agreement in June, equaling about $15 million.
Last year, the tech executive sold about $700 million worth of shares as part of a prearranged plan. Nvidia stock climbed about 1% Friday.
Huang’s net worth has skyrocketed as investors bet on Nvidia’s AI dominance and graphics processing units powering large language models.
The 62-year-old’s wealth has grown by more than a quarter, or about $29 billion, since the start of 2025 alone, based on Bloomberg’s Billionaires Index. His net worth last stood at $143 billion in the index, putting him neck-and-neck with Berkshire Hathaway‘s Warren Buffett at $144 billion.
Shortly after the market opened Friday, Fortune‘s analysis of net worth had Huang ahead of Buffett, with the Nvidia CEO at $143.7 billion and the Oracle of Omaha at $142.1 billion.
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The company has also achieved its own notable milestones this year, as it prospers off the AI boom.
On Wednesday, the Santa Clara, California-based chipmaker became the first company to top a $4 trillion market capitalization, beating out both Microsoft and Apple. The chipmaker closed above that milestone Thursday as CNBC reported that the technology titan met with President Donald Trump.
Brooke Seawell, venture partner at New Enterprise Associates, sold about $24 million worth of Nvidia shares, according to an SEC filing. Seawell has been on the company’s board since 1997, according to the company.
Huang still holds more than 858 million shares of Nvidia, both directly and indirectly, in different partnerships and trusts.
Elon Musk meets with Indian Prime Minister Narendra Modi at Blair House in Washington DC, USA on February 13, 2025.
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Tesla will open a showroom in Mumbai, India next week, marking the U.S. electric carmakers first official foray into the country.
The one and a half hour launch event for the Tesla “Experience Center” will take place on July 15 at the Maker Maxity Mall in Bandra Kurla Complex in Mumbai, according to an event invitation seen by CNBC.
Along with the showroom display, which will feature the company’s cars, Tesla is also likely to officially launch direct sales to Indian customers.
The automaker has had its eye on India for a while and now appears to have stepped up efforts to launch locally.
In April, Tesla boss Elon Musk spoke with Indian Prime Minister Narendra Modi to discuss collaboration in areas including technology and innovation. That same month, the EV-maker’s finance chief said the company has been “very careful” in trying to figure out when to enter the market.
Tesla has no manufacturing operations in India, even though the country’s government is likely keen for the company to establish a factory. Instead the cars sold in India will need to be imported from Tesla’s other manufacturing locations in places like Shanghai, China, and Berlin, Germany.
As Tesla begins sales in India, it will come up against challenges from long-time Chinese rival BYD, as well as local player Tata Motors.
One potential challenge for Tesla comes by way of India’s import duties on electric vehicles, which stand at around 70%. India has tried to entice investment in the country by offering companies a reduced duty of 15% if they commit to invest $500 million and set up manufacturing locally.
HD Kumaraswamy, India’s minister for heavy industries, told reporters in June that Tesla is “not interested” in manufacturing in the country, according to a Reuters report.
Tesla is looking to recruit roles in Mumbai, job listings posted on LinkedIn . These include advisors working in showrooms, security, vehicle operators to collect data for its Autopilot feature and service technicians.
There are also roles being advertised in the Indian capital of New Delhi, including for store managers. It’s unclear if Tesla is planning to launch a showroom in the city.