Google has decided to reorganize a significant portion of its advertising sales unit, which includes around 30,000 employees, according to a statement by an executive to employees last week, sparking concerns about the possibility of downsizing in some departments.
During an executive meeting last week, Sean Downey, in charge of advertising sales to major clients in the Americas, stated that the company is planning to restructure its advertising sales team without specifying if this move will lead to employee separations.
The reorganization process comes at a time when Google heavily relies on artificial intelligence technologies to assist clients in purchasing more ads on its search engine and video-sharing platform, among other services.
Google has been offering these tools for years, creating new ads that are automatically believed to deliver excellent performance for clients.
These ads aim to generate annual revenues reaching tens of billions of dollars for the company.
Advertising revenues provide high profits due to their relatively low cost, requiring minimal attention from employees.
Google plans to consolidate its team by restructuring employees in the unit handling sales to major clients, which may also include the possibility of laying off some employees.
In January of this year, Google announced a plan to cut around 12,000 jobs globally, representing approximately 6% of its total workforce.
Earlier in June, the company made a decision to lay off employees working on the “Waze” maps application after integrating the advertising system into Google’s ad technology.
In October, a report on Business Insider revealed that Google had changed its sales strategy to attract more advertisers to its key product relying on artificial intelligence.
The report indicated that Google had altered the workings of sales teams to enhance a new advertising product using artificial intelligence technology.
The company shifted some sales employees working with large companies to teams selling products to small customers and advertisers from this category.
These small advertisers work with Google’s Customer Solutions team and spend between $250,000 and $2 million every three months, whereas large companies typically spend between $4 million and $5 million every three months, working with an internal team at Google known as the Large Customer Sales team.
