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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. 

Josh Edelson | AFP | Getty Images

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.

Elon Musk says he's worried about Microsoft's control over OpenAI

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.

WATCH: AI takes center stage at Google I/O

A.I. takes center stage at Alphabet's annual Google I/O conference

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Disney content to go dark on YouTubeTV after contract talks collapse

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Disney content to go dark on YouTubeTV after contract talks collapse

Photo illustration of the YouTube TV logo displayed on a smartphone, with the YouTube logo in the background.

Nurphoto | Nurphoto | Getty Images

Content from The Walt Disney Company, including channels like ABC and ESPN, was removed from Google‘s YouTube TV on Thursday after the two companies failed to renew a streaming contract. 

“Despite our best efforts, we have not been able to reach a fair deal, and starting today, Disney programming will not be available on YouTube TV,” the platform said in a statement Thursday.

More than 20 channels, including ABC and ESPN, and Disney content recordings would be removed from YouTube TV, the company said.

The two sides had been engaged in negotiations but were unable to reach a new distribution agreement before their existing contract expired Oct. 30 at 11:59 p.m. Eastern time.

Disney did not immediately respond to a request for further comment. The mass media and entertainment conglomerate was the first to warn about the potential content removal last week.

In a Thursday statement on its official blog, YouTube argued Disney had “used the threat of a blackout on YouTube TV as a negotiating tactic to force deal terms that would raise prices on our customers,” and that Disney was now following through on that threat.

“We will not agree to terms that disadvantage our members while benefiting Disney’s own live TV products,” YouTube TV said in a post on its help center webpage. Disney’s live TV offerings include Hulu + Live TV and Fubo.

“We know how disruptive it is to lose channels you enjoy, and we’re committed to continuing to work with Disney to reach an agreement,” YouTube said in its statement, adding that if the content is unavailable for an extended period of time, the company will offer members a $20 credit. 

YouTube TV pays broadcasters to stream their channels and has been engaged in several tense negotiations over contract renewals in recent months.

Last month,  content was nearly removed from YouTube TV before the companies reached an agreement after a temporary extension, preventing shows like “Sunday Night Football” and “America’s Got Talent” from being pulled.

The recent clash between Disney and YouTube has an added twist, after YouTube hired former Disney distribution executive Justin Connolly earlier this year, prompting Disney to file a breach-of-contract lawsuit.

Connolly has recused himself from the discussions, CNBC previously reported, according to the people familiar with the process.

YouTube is the top U.S. media distributor by audience engagement, capturing over 13% of TV watch-time in July, according to Nielsen. It is also on track to be the biggest media company by revenue in 2025, beating Disney, analysts at MoffettNathanson told CNBC.

Disclosure: Comcast is the parent company of NBCUniversal, which owns CNBC. Versant would become the new parent company of CNBC upon Comcast’s planned spinoff of Versant.

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Apple silences its critics with strong iPhone demand and blowout services revenue

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Apple silences its critics with strong iPhone demand and blowout services revenue

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SpaceX and Blue Origin both submitted plans to get astronauts back to the moon faster, NASA says

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SpaceX and Blue Origin both submitted plans to get astronauts back to the moon faster, NASA says

SpaceX’s Starship rocket 38 launches during the 11th test flight on October 13, 2025 as seen from South Padre Island in Texas.

Gabriel V. Cardenas | Afp | Getty Images

SpaceX said it has pitched NASA a “simplified mission” to put astronauts back on the moon following criticisms over delays by Sean Duffy, the space agency’s acting administrator.

In a company blog post out Thursday, Elon Musk’s aerospace and defense contractor said: “We’ve shared and are formally assessing a simplified mission architecture and concept of operations that we believe will result in a faster return to the Moon while simultaneously improving crew safety.” 

Earlier this month, Duffy said in an interview on CNBC’s Squawk Box, that SpaceX was behind schedule on building its lunar landing system for NASA’s Artemis III mission and that the agency would reopen the landing contract for that mission to competitors such as Jeff Bezos‘ rocket maker Blue Origin.

A NASA spokesperson in an email to CNBC said that the agency “has received and is evaluating plans from both SpaceX and Blue Origin for acceleration of HLS production.”

“Following the shutdown, the agency will issue an RFI to the broader aerospace industry for their proposals,” the spokesperson said. “A committee of NASA subject matter experts is being assembled to evaluate each proposal and determine the best path forward to win the second space race given the urgency of adversarial threats to peace and transparency on the Moon.”

NASA had previously said that SpaceX and Blue Origin would have until Oct. 29th to propose new ways to speed up the project.

Musk initially responded to Duffy by posting to his social network X, “Sean Dummy is trying to kill NASA!” In another post, Musk wrote: “The person responsible for America’s space program can’t have a 2 digit IQ.”

SpaceX’s massive Starship has flown 11 test flights so far, uncrewed. The last two flights were deemed successful, but the company has not yet shown all the in-orbit refueling capabilities it requires before embarking on the Artemis III, manned lunar mission.

Blue Origin has been developing a lunar lander for NASA and has received about $835 million from the space agency since their contract began in 2023. The company plans to launch a smaller scale version of their lander, known as Blue Moon Mark 1.

Meanwhile, China is aiming to land its astronauts on the moon by the end of the decade.

In September, in an all-hands meetings with NASA employees, Duffy told his staff that he was irked by “shade thrown” on the space agency at a Senate hearing in which some attendees doubted that the U.S. could put astronauts back on the Moon before China could land its astronauts there.

Besides its lunar mission, China also announced it is sending a new crew to its orbiting lab, the Tiangong space station, this week. China built this space station after it was excluded from access to the International Space Station due to U.S. national security concerns.

SpaceX is paid when it achieves different milestones under its NASA contract for the HLS (human landing system integrated lander).

According to USA Spending, which tracks federal contracts, NASA has already paid approximately $2.7 billion to SpaceX for the “design, development, manufacture, test, launch, demonstration and engineering support” of the HLS. The agency is obligated to pay around another $300 million for milestones SpaceX achieved, and Musk’s company stands to earn a total of $4.5 billion (or another $1.5 billion) from the HLS contract if they achieve all milestones.

SpaceX today said, in their company blog post, that they “self-funded” 90% or more of the program, which would imply they have spent over $30 billion already.

As CNBC previously reported, some NASA employees have been required to work without pay for the space agency during the federal government shutdown if their jobs support Artemis missions.

SpaceX and Blue Origin did not immediately respond to CNBC’s requests for comment.

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