Google Ads AI Labels: New Disclosure Rule for AI-Generated Video Ads (2026)

The key change is that Google now requires advertisers to disclose when an ad was created or edited with generative AI. Announced July 9, 2026, the policy applies to all ad formats on Search, YouTube, and Discover, including video ads generated by AI tools like Veo 3.1 and third-party platforms. The disclosure appears in a new "How this ad was made" panel within My Ad Center, accessible via the three-dot menu or info icon on individual ads. This transparency initiative is part of Google's broader push for responsible AI advertising.

What Is the Google Ads AI Label?

The AI label is a clear disclosure that tells viewers whether an ad was created or edited using generative artificial intelligence. Google automatically labels ads produced with its own AI tools, such as Veo for video generation or Gemini for image creation. For ads made with third-party AI tools, advertisers must manually designate the creative as "created or edited with AI" through the AI content label settings in Google Ads. The setting is rolling out gradually through July 2026 across Google Ads, Display & Video 360, and other platforms.

Where Does the Label Appear?

Labels appear in the My Ad Center "How this ad was made" section on Search, YouTube, and Discover ads. In some regulated regions, Google may also display a direct-on-ad label. According to Search Engine Roundtable, the feature is already visible for some users. The Verge reported that the rollout is global and applies to all ads running on Google properties.

How Does It Affect AI Video Advertisers?

Advertisers using AI video generators must now ensure their creatives are properly labeled. This is especially relevant given Google's recent launch of Veo 3.1 Lite, priced at $0.05 per second for 720p resolution – the cheapest video generation tier to date. At that rate, a 30-second AI-generated video ad costs just $1.50, making AI video production accessible to small businesses. However, any ad created with Veo 3.1 Lite will be automatically labeled by Google.

For advertisers using third-party AI video tools – such as those offered by Envato, which now integrates models like Veo 3.1, ByteDance's Seedance 2.0, and MiniMax's Hailuo 02 – manual disclosure is required. Envato's recent update highlights faster generation and consistent outputs, but advertisers must still mark those ads as AI-generated in Google Ads settings.

AI Video Tools and the Labeling Impact

Google's own AI video ecosystem is expanding rapidly. In addition to Veo 3.1 Lite, Google released Gemini Omni, a multimodal AI that enables conversational video editing and is available in Gemini App, Google Flow, and YouTube. While these tools streamline ad creation, any ad produced with them will carry an automatic AI label. This creates a clear distinction: ads made with Google's AI are transparent by default; third-party AI ads rely on advertiser honesty.

Comparison: Automatic vs. Manual Labeling

Labeling Type	Source of AI Generation	Required Action	Example Tools
Automatic	Google's own generative AI tools	None – label applied by Google	Veo 3.1, Veo 3.1 Lite, Gemini Omni
Manual	Third-party AI tools	Advertiser must enable AI label in Google Ads	Envato's AI video, ByteDance Seedance, MiniMax Hailuo

The comparison underscores the importance of understanding your AI toolchain. If you use a third-party platform, you must proactively enable the AI content label to comply with Google's policy.

How to Comply with the New Rule

According to Google's official support article, the process is straightforward:

1. Navigate to the Asset Studio or AI label setting in Google Ads.
2. For each creative, designate whether it was "created or edited with AI."
3. Save and publish the campaign.

For ads made entirely with Google's own AI tools, no action is needed – the label is applied automatically. Advertisers using a mix of automated and manual elements should review their assets carefully. Barrett Media reported that the label will also appear on YouTube in-stream ads and Discovery campaigns.

Why Google Introduced the AI Label

Google's official announcement explains that the label is part of its commitment to AI transparency. The blog post states, "We believe that transparency builds trust. By showing how an ad was made, we help people make more informed decisions about the content they see." This is consistent with broader industry trends – regulators and consumers increasingly demand disclosure of AI-generated content. The policy also helps advertisers differentiate their brand as trustworthy.

Broader Implications for AI Video Ads

The labeling requirement comes at a time when AI video generation is becoming commoditized. Veo 3.1 Lite at $0.05/second is a fraction of the cost of earlier models. Google's own AI video tools now offer unprecedented affordability. Meanwhile, platforms like Envato are aggregating multiple models to give creators choice – but all such ads now require disclosure.

Advertisers should also note that Google is expanding travel campaigns to include things to do and events, as reported by Search Engine Journal. While not directly related to AI video, it indicates Google's ad platform is evolving rapidly.

Frequently Asked Questions

Does the AI label apply to all ad formats?

Yes, the label applies to ads on Google Search, YouTube, and Discover, covering images, video, and text ads that were created or edited with generative AI.

Can I avoid the label by using Google's own AI tools?

No – ads made with Google's AI tools are automatically labeled, but you don't need to take any manual action.

What happens if I fail to label a third-party AI ad?

Google has not announced specific penalties yet, but failure to comply could result in ad disapproval or suspension of the account.

Is the label visible to all users?

Yes, the "How this ad was made" panel is available globally in My Ad Center. In some regions, a shortened label may appear directly on the ad.

How does Veo 3.1 Lite pricing compare to other AI video tools?

At $0.05/second for 720p, Veo 3.1 Lite is the most cost-effective option from a major provider, undercutting many competitors and making AI video accessible for small budgets.