Google Shopping is getting an AI upgrade as Alphabet looks to monetize investments

Google (GOOG, GOOGL) is giving its Google Shopping page an AI upgrade. The shopping site will now include AI-powered summaries powered by the company’s Gemini AI model that offer tips on how to shop for the best option for the product you’re shopping for. It will also get new personalized results and personalized deals pages.

Google says the AI summaries will appear in a new module near the top of the screen just below the sponsored products list and provide information like what kind of features to look for when shopping for products and why.

If shopping for a kettle for making matcha tea, for example, the AI summaries box will tell you that you should look for kettles with a gooseneck spout for controlled pouring and precise temperature controls. Below that, you’ll see a number of recommendations for products that include bits of information from those AI summaries.

In the tea kettle example, Google Shopping highlighted things like “gooseneck” and “temperature control” found in the recommended products’ descriptions, making it easier to understand why Google suggested those options.

In another example, of a person searching for the best men’s winter jacket for the Pacific Northwest, the AI recommendation feature explained that coats that offer both warmth and water resistance are best for the region’s famously rainy weather.

Google says users shop more than 1 billion times per day using Google, making this a massive opportunity for Google to prove that its AI upgrades are worthwhile for everyday users.

In addition to the AI recommendations, Google says it’s adding a personalized shopping feed to the Google Shopping homepage based on products that users have previously shown an interest in. Google says personalized recommendations can also be turned off via Google Shopping’s settings menu.

The Deals page, meanwhile, will include personalized deals for products and goods.

In addition to Google Shopping, Google has added its Gemini models to its main Google Search product via its AI Overviews feature, as well as a number of its Android apps for smartphones. But it hasn’t been easy going for the company. In May, Google faced considerable backlash, and plenty of mockery, when users found that AI Overviews told them they could eat rocks and put glue on their pizzas.

Google responded by scaling back its rollout to address the issues and ensure the feature doesn’t surface unreliable information.

Google’s updates come as the company seeks to monetize its vast investments in generative AI technologies. In the second quarter, Google’s parent company Alphabet reported spending $2.2 billion building AI models across its DeepMind and Google Research organizations. That’s up from $1.1 billion in Q2 2023.

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Google isn’t the only company pouring money into generative AI. Microsoft (MSFT) has famously spent billions to team up with OpenAI, while Amazon (AMZN) is investing heavily in Anthropic. Meta is also dumping money into its AI programs, building out its own Llama family of AI models.

The Big Tech firms are racing to be the first to reach general artificial intelligence, or artificial intelligence that can rival or outperform your average person. But it will take years and billions of dollars more before they get there, if they ever do.

Email Daniel Howley at dhowley@yahoofinance.com. Follow him on Twitter at @DanielHowley.

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