Core Insights - The introduction of AI technology is expected to transform advertising formats, allowing for personalized ads tailored to individual user behaviors and preferences [3][4] - AI has significantly improved ad click-through rates, with some ads experiencing increases from historical averages of 0.1% for banner ads and 1% for information flow ads to around 3% after AI optimization [3][4] - Major internet companies like Tencent and Alphabet are seeing growth in advertising revenue, with Tencent's marketing service revenue reaching 36.2 billion yuan, a 21% year-on-year increase, and Alphabet's ad revenue hitting $74.2 billion, a 9.9% increase [4] Advertising Technology Evolution - The advertising industry is shifting from a traditional filtering approach to a generative model, enhancing efficiency in ad selection and delivery [4][5] - AI-driven advertising is becoming a focal point for investment, with companies actively exploring new ad formats and technologies to adapt to changing user behaviors [5] - The competitive landscape in the advertising market is intensifying, as the overall market size remains stable while AI technology introduces new dynamics [5] Talent and Market Dynamics - The criteria for hiring advertising technology talent are evolving, with a recent Tencent algorithm competition focusing on generative recommendation capabilities for personalized ads [5] - As user engagement shifts from search engines to AI chat tools, the advertising landscape is expected to adapt accordingly, with new platforms like Perplexity already opening ad spaces [5] - The balance between commercialization and user experience is crucial, with expectations for a limited number of clearly marked ads in AI responses, contrasting with the more aggressive ad placements seen in traditional search engines [5]