Meta May Overtake Google Search in Ad Revenue This Year, Bernstein Says

Meta Platforms, Inc. is on track to surpass Google Search's ad revenue by the end of 2026, according to Bernstein analysts. This potential shift is attributed to Meta's use of AI for predicting user engagement with content and ads, coupled with massive investments in ad creation and automation. In Q2 2026, Meta secured nearly half of all new digital ad spending, a significant portion within the space.

However, Google's advertising business continues to grow, with Search & Other ad revenue up 17% in Q2 2026. Google's algorithmic approach relies on capturing demand during active searches, which is harder for Meta's AI-driven "push" model to replicate. Despite Bernstein's optimism about Meta's growth, analysts note that Google's core business remains robust, with search ad revenues still expanding.

Investors should monitor Meta's automated ad production progress and WhatsApp monetization, while Alphabet investors should watch Google's search ad growth.