Stephen Ju's questions to Alphabet Inc (GOOGL) leadership • Q2 2024
Question
Stephen Ju asked when enterprise AI products might shift from focusing on cost savings to driving revenue generation, and when direct response could become a larger growth contributor for YouTube than brand advertising.
Answer
CEO Sundar Pichai explained that AI is a horizontal technology that can simultaneously cut costs and generate revenue, citing improved customer service as an example that also boosts conversions. CBO Philipp Schindler noted that direct response is benefiting from AI-powered campaigns like PMax and Demand Gen, and that recent YouTube Shopping features also support this business.