Google's new AI Mode could be a big threat to publishers in terms of clicks and revenue

Google’s latest AI-powered search enhancements, called the AI Mode, are under scrutiny from global publishers and digital media outlets. Many claim these features are already disrupting their traffic and revenue models.

A Drop in Clicks, a Drop in Revenue

AI Overviews display AI-generated summaries at the top of search results, often answering users' questions directly without requiring a click to the original source. According to a Digiday report, publishers such as The Sun have experienced a 40% drop in global unique monthly users since the feature began rolling out more widely

This is triggering alarms across the industry, especially for outlets that rely heavily on search-driven ad revenue. Estimates have also revealed that AI Overviews could cause a 25% drop in traffic, resulting in an annual industry-wide revenue loss of up to $2 billion.

SEO as We Know It Is Breaking Down

For decades, publishers have relied on Search Engine Optimisation (SEO) to drive visibility. But Google's AI Mode, which paraphrases content in a conversational chat format, could make ranking first in search results practically meaningless.

Pages optimised for traditional SEO may be skipped over if the AI generates a summary with no source attribution. Some publishers fear that only content specifically structured to be summarised will gain visibility, a shift that undermines organic discovery.

This raises the bar on content originality and calls into question the future relevance of standard SEO strategies.

Internal Google documents reviewed by The Verge revealed that the company rejected proposals to offer publishers fine-tuned controls over whether or how their content is used in AI Overviews. If a publisher wants to opt out of these features, they would need to opt out of Google Search entirely — a drastic and unrealistic step for most.

In response, the News/Media Alliance, which represents over 2,000 media organisations, issued a statement calling Google’s new AI Mode “theft”. The group has urged the US Department of Justice to launch an antitrust investigation into the practice.

“They’ve taken our content without consent, used it to train AI, and now monetise it — while cutting us out of the equation,” said a spokesperson for the Alliance.

Google’s Response: More Ads, Less Transparency

Despite mounting criticism, Google is moving forward with monetising its AI features. At Google Marketing Live 2025, the company announced it would integrate ads into AI Overviews and AI Mode, including sponsored product links and location-based business suggestions. These ads will be shown regardless of whether users click on links, potentially diverting further revenue away from publishers.

Meanwhile, publishers have expressed frustration over Google’s lack of transparency around click-through rates for AI Overviews. Without clear analytics, it’s difficult for content creators to measure how much value, if any, they’re receiving from inclusion in these summaries.