Google Privacy Policy Shift Opens Door to Ad Targeting via AI

Google has updated its privacy policy in a move that appears to dismantle previous firewalls protecting sensitive user data from ad personalization, according to reporting from Ars Technica.

Previously, Google's policy explicitly stated the company did not show personalized ads based on content from Gmail, Photos, or Drive. However, an October 16 update spotted by Android Authority introduces new language that creates an opening for this data to inform advertising. This shift coincides with the early 2026 release of "Personal Intelligence," a feature that allows users to opt-in to sharing data across multiple apps to provide context for Google AI products, including the Gemini app and AI Mode search.

While Gemini currently lacks ads, sponsored content appears in AI search tools. Ars Technica reports that if a user enables Personal Intelligence, summaries and insights derived from their personal data may inform AI search answers, which in turn can contribute to ad targeting.

Google has attempted to clarify the change, stating to Ars Technica that the update does not signal a change in how data is handled with advertising partners and that ads are not based "directly" on a user's Gmail inbox or Photos library. A Google spokesperson further asserted that the company is not scanning entire inboxes to enhance advertising profiles or providing this data to third parties.

Despite these assurances, Ars Technica notes that the more data users share across the Google ecosystem, the greater the privacy risk. The outlet highlights that while Personal Intelligence is opt-in, Google uses prompts and pop-ups to encourage activation, potentially without fully explaining the privacy implications.