Google is set to begin testing ads within its AI Overviews, a feature of the Google Search Generative Experience (SGE). This new initiative was announced by Google's senior vice president and chief business officer, Philipp Schindler, during a recent earnings call. 

The testing will involve search and shopping ads appearing in AI Overviews for U.S. users, specifically labelled as "sponsored" when relevant to both the search query and the AI-generated content.

The plan for these ads was initially disclosed at Google Marketing Live, indicating Google's strategic move towards integrating more commercial elements into its AI-driven search features. The introduction of these ads is expected to start with a small-scale trial in the U.S., aimed at gauging user, advertiser, and publisher feedback to refine the approach.

This development reflects Google's broader strategy to enhance search experiences through AI, which not only includes the introduction of ads but also a variety of AI-powered recommendation ads and visual brand profile ads designed to enrich user interaction and provide tailored advertising experiences. 

Google's efforts in this area suggest a significant shift towards more dynamic, AI-enhanced search functionalities that could reshape how users interact with online content and advertisements.