Alphabet Chief Commercial Officer Philipp Schindler stated during the company's financial report conference call on Tuesday: 'When users are shopping, this is very important. There is a part of the process that they don't like, which are those tedious tasks. To be honest, these tasks are perfectly suited for automation using AI.'

"But we also want to enhance it, rather than just automating the discovery experience that people truly enjoy in many cases."

Schindler says that users don't always want the cheapest option; they also weigh brand loyalty and customer service. Google believes that this decision-making process provides space for companies to embed advertisements within agentic shopping.

These comments explain more clearly the business model of Google towards agentic and search, which has always posed a challenge to its core advertising business. On Tuesday, the company stated that the AI and mode of Google have brought about an unprecedented increase in searches, but the speed at which money is being made has not increased accordingly. This is a major concern for investors; they have long believed that AI chatbots and agents will threaten Google's search business.