Google Privacy Policy Update Opens Door to AI-Driven Ad Targeting
AI-generated image · US National Wire · Based on a photo by Austin McKinley (CC BY 3.0, Wikimedia Commons)
A change in language suggests data from Gmail and Photos may now inform personalized ads when routed through 'Personal Intelligence' AI tools.
Google has updated its privacy policy to remove a previously explicit limit on using sensitive data from Gmail, Drive, and Photos for ad personalization, as Ars Technica first reported. The previous policy stated that personalized ads were not shown based on content from those specific apps; however, the updated language introduces an equivocation that may allow such data to inform advertising when shared with other Google services.
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 better context for Google AI products. While the Gemini app currently lacks ads, Ars Technica reports that sponsored content appears in AI search tools. Consequently, data piped into AI search via Personal Intelligence could contribute to ad personalization.
Google has defended the change, stating that connecting apps remains entirely opt-in and that ads are not based "directly" on a user's Gmail inbox or Photos library. A Google spokesperson told Ars Technica that the company is not scanning entire inboxes to enhance advertising profiles nor sharing this data with third parties.
Despite these assurances, Ars Technica notes that if a user interacts with AI Mode while Personal Intelligence is enabled, the resulting summaries and insights from personal data can inform the answers provided, which in turn can inform ad targeting. The outlet further reports that Google uses prompts and pop-ups to encourage users to enable Personal Intelligence without fully detailing the privacy consequences.