Google to Fire 30,000 More Employees as AI Takes Over Ad Sales Job
In Brief
Google plans reorganization within its 30,000-person ad sales unit, moving further towards integrating AI in its operations.
Tech giant Google is reportedly considering a major reorganization within its 30,000-person ad sales unit, as the organization is moving towards greater integration of AI in its operations. The move has raised concerns about potential job cuts, especially in the wake of the company’s recent layoffs affecting over 12,000 employees in 2023.
According to several media reports, the restructuring reflects Google’s strategic shift towards leveraging machine-learning techniques to enhance efficiency in ad purchases across its diverse platforms.
The company introduced AI-powered tools over the years, automating the creation of new ads and significantly contributing to its annual revenue, estimated to be in the tens of billions of dollars. The effectiveness of these tools, requiring minimal employee involvement, has resulted in high profit margins for the tech giant.
As per a report from The Information, AI advancements within Google may lead to job displacement, prompting the company to consider staff consolidation and potential layoffs. The focus would be reassigning employees in the customer sales unit, responsible for managing relationships with major advertisers.
It was reportedly disclosed during a department-wide Google Ads meeting, where the decision to automate certain roles was discussed.
AI is Simplifying Ads Creation
In May, Google introduced a “new era of AI-powered ads,” unveiling a natural-language conversational experience within Google Ads. The initiative aims to simplify ad campaign creation by utilizing AI to scan websites and automatically generate keywords, headlines, descriptions, images and other assets.
Google’s AI-powered ad tool Performance Max (PMax) was enhanced with generative AI capabilities, to create and scale custom assets efficiently. As AI tools like PMax gain popularity among advertisers, a noticeable reduction in the need for human intervention in ad design and sales is evident, contributing to the cost-effectiveness and profitability of ad revenue.
The anticipated reorganization is expected to impact a substantial portion of the ad division’s workforce, which consisted of approximately 13,500 individuals dedicated to sales work as of a year ago. While the exact extent of the impact remains uncertain, potential reassignments of roles within Google are on the horizon.
Official announcements regarding the scale and specifics of the restructuring are expected in the coming month, leaving employees in anticipation of potential changes in roles and responsibilities during this transformative phase.
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Kumar is an experienced Tech Journalist with a specialization in the dynamic intersections of AI/ML, marketing technology, and emerging fields such as crypto, blockchain, and NFTs. With over 3 years of experience in the industry, Kumar has established a proven track record in crafting compelling narratives, conducting insightful interviews, and delivering comprehensive insights. Kumar's expertise lies in producing high-impact content, including articles, reports, and research publications for prominent industry platforms. With a unique skill set that combines technical knowledge and storytelling, Kumar excels at communicating complex technological concepts to diverse audiences in a clear and engaging manner.
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Kumar is an experienced Tech Journalist with a specialization in the dynamic intersections of AI/ML, marketing technology, and emerging fields such as crypto, blockchain, and NFTs. With over 3 years of experience in the industry, Kumar has established a proven track record in crafting compelling narratives, conducting insightful interviews, and delivering comprehensive insights. Kumar's expertise lies in producing high-impact content, including articles, reports, and research publications for prominent industry platforms. With a unique skill set that combines technical knowledge and storytelling, Kumar excels at communicating complex technological concepts to diverse audiences in a clear and engaging manner.
