Google has expanded its suite of AI-powered advertising tools to India, following their initial launch in the U.S. in May, capitalizing on the country’s growing digital ad market and the recent repeal of the “Google tax.”
The expansion was announced during Google’s Marketing Live event in India, where the company unveiled several new tools, including “Generated for You” within Product Studio, which uses AI to create marketing content. Additionally, Smart Bidding Exploration was introduced to help businesses generate more qualified leads. Google also unveiled new agentic capabilities in Google Ads and Analytics. According to Dan Taylor, VP for Global Ads at Google, “These agentic tools can learn from advertising inputs… to take the guesswork out of achieving business goals.” Another tool, AI Max for Search Campaigns, was also introduced, which reportedly helped Cashify increase conversions by 15% and reduce acquisition costs by 12% in early tests.
The launch of these tools comes as India’s digital ad market is projected to reach nearly $7 billion by 2025, growing over 20% year-over-year. The country’s thriving digital ecosystem is driving Google to bring innovations to the market faster, as stated by Roma Datta Chobey, MD of Digital Native Industries at Google India, “India is such a thriving digital ecosystem… that’s really the reason behind us getting these innovations to India faster.” Furthermore, Google confirmed that its new features will support the Hindi language and introduced state-level audience filters for more granular media planning. The company also plans to introduce ads on AI Overviews in India later this year, as well as shoppable connected TV ads on YouTube.
The repeal of India’s 6% “Google tax” on digital advertisements, effective April, has made the market more appealing to global tech firms like Google, Meta, and Amazon. The U.S. Trade Representative had previously criticized this levy as “discriminatory,” and its removal eases costs for these companies.
