Google is testing two new ad formats powered by Gemini models within AI Mode Search results, including Conversational Discovery ads and Highlighted Answers that include independent AI explainers. Primary source: blog.google/products/ads-commerce/google-marketing-live-search-ads/. 75% of users in internal data reported faster decisions via AI Mode. Related coverage from Search Engine Land documented similar Performance Max expansions in 2024. The formats maintain “Sponsored” labels while synthesizing product details from Gemini, extending prior Direct Offers pilots. Google’s announcement references expanded native checkout in travel and shopping verticals. Secondary reporting from The Verge on AI Overviews in 2024 noted parallel placement experiments. These changes align with documented shifts in ad inventory from traditional links to generative responses.