Google's ad sales division is undergoing a reorganization, with the company adopting AI-based tools to create and recommend ads. The move eliminates the need for employees who specialize in selling ads for specific Google services.
According to IT foreign media The Information, the search giant is planning to restructure a large part of the entire 30,000-person ad sales department due to Google's recent advances in AI. It's worth noting that Google has laid off about 1With 20,000 employees, it was the largest layoff in the company's history. Many jobs in the ad sales department were cut due to Google's introduction of new AI-based tools that automatically recommend and create new ads that work well for customers and require little to no attention from employees. It's worth noting that Google launched Performance Max, an AI-based campaign planning tool back in 2021, but the company decided at Google's IO conference earlier this year to add generative AI-based capabilities to the ad tool, making it easier for users to "create custom assets and extend them with just a few clicks." The Information's report highlights that more and more advertisers are now adopting Performance Max, so they don't need employees who sell ads specifically for specific Google services, such as YouTube, Search, Display, Discover, Gmail, and Maps. Sean Downey, Google's president for Americas and global partnerships, announced the reorganization of the ad sales division at a conference last week. The information reported that the executive did not indicate whether the restructuring would lead to another round of layoffs. Google CEO Sundar Pichai openly talks about layoffs 120,000 people
An employee asked Sundar Pichai at a meeting last week, "It's been almost a year since the company made the difficult decision to downsize its workforce. What impact does this decision have on our growth, profit and loss, and morale?Google's CEO responded that it had had a big impact on employee morale, claiming it was "one of the hardest decisions for the company to make." "At Google, we've never had a moment like this in 25 years," he said. Sundar Pichai called the decision "difficult but necessary." The Alphabet CEO said it would be "a worse decision in the future" if the company hadn't laid off employees last year. Google's CEO said: "This will be a significant threat to the company. I think in a difficult year like this, where the world has changed so much, it's become very difficult to build capacity to invest in certain areas. ”