Profound changes are ahead for online advertising. At the recent Google Marketing Live event, the tech giant outlined expanded artificial intelligence (AI) systems for digital ads.
What will that look like? Picture ads integrated directly into your conversation with an AI chatbot. Or a discounted price that only you see because an AI system served it based on your browsing behaviour, intent to buy the product, and what’s available locally. And, of course, generative AI tool suites for producing online ads start to finish.
Meta and ByteDance (parent company of TikTok) have similarly accelerated the rollout of their own AI-driven advertising systems. Meta is expanding tools that automatically generate and personalise ad images, video backgrounds, captions and targeting across Facebook and Instagram feeds.

Meta
Bytedance’s TikTok Symphony suite can generate promotional videos, scripts, AI avatars, dubbed voiceovers, and creator-style content from simple text prompts or product links.
At the same time, ads on these social media platforms are becoming harder to recognise. As one example, Instagram and Facebook recently eliminated their familiar “sponsored” labels in favour of smaller “ad” markers.
It may look like a minor interface tweak, but it signals something larger: the steady erosion of clear boundaries between advertising, entertainment, recommendation, and ordinary social interaction.
Dissolving into the flow
Social media platforms have engineered ads to mimic organic content. Just think of influencer and creator partnerships, AI-personalised search results, or brands using memes.
Increasingly, online ads are less of an interruption to the content you consume. Instead, they’re designed to dissolve into the flow itself.
When companies buy advertising space on social media, ads are automatically disclosed as a commercial message. With partnerships and AI-personalised results, the platforms currently offer limited forms of disclosure.
The result is a blurring of the lines. Products, ideas and political messages are spread through ads that look a lot like all other, non-sponsored content. And the less an ad feels like an ad, the more effective it often becomes. This is precisely where public accountability starts to break down.
For several years, researchers like us, working through projects such as the Australian Ad Observatory and the Australian Internet Observatory, have documented how difficult it already is to observe and analyse online advertising systems.
Our work has examined everything from political advertising and astroturfing campaigns, the marketing of alcohol and unhealthy foods, and the veracity of “green” claims made by advertisers.
In many cases, this work depends on relatively simple but crucial forms of signalling. Researchers need to know what counts as an advertisement, who paid for it, where it appeared, and why it was shown to particular audiences.



