Tech Giants Rethink Ad Budgets and Bidding Strategies

Microsoft has announced that it will retire Max CPC (Cost Per Click) as of October 1, 2026, for new campaigns using Max Conversions, Max Conversion Value, and Max Clicks. The change only applies to non-portfolio campaigns created after this date. Existing campaigns and portfolio bid strategies will still allow users to set a maximum cost per click.

Navah Hopkins, Microsoft Ads Liaison, explained that advertisers using conversion strategies with explicit targets outperform those relying on legacy controls, and that Max CPC can lead to 'spend pacing irregularities' that override the goal an advertiser has already stated.

In contrast, Google is expanding its measurement apparatus around AI Max, a system that already sets prices. The company will allow advertisers to test budget and ROI target changes across multiple Search campaigns at once, and will also enable them to apply recommended adjustments directly without executing them manually.

OpenAI has introduced platform targeting controls for ChatGPT Ads Manager Beta, allowing users to segment their advertising by iOS App, Android App, or Web. However, the reporting system still lumps these categories together, making it difficult to track performance accurately.