Some key excerpts:
Advertising should deliver the right information to the right person at the right time ... Our goal is always to show people the best ads, the ones that are the most relevant, timely, and useful .... We need to understand exactly what people are looking for, then give them exactly the information they want.What strikes me about this is how much this sounds like treating advertising as a recommendation problem. We need to learn what someone wants, taking into account the current context and long-term interests, and then help them discover interesting things they might not otherwise have known existed.
When a person is looking for a specific item ... the best ads will give more specific information, like where to buy the item.
In other cases, ads can help you learn about something you didn't know you wanted ... [and to] discover something [you] didn't know existed.
One way to make ads better would be to customize them based on factors like a person's location or preferences.
It [also] needs to be very easy and quick for anyone to create good ads ... to measure [and learn] how effective they are .... [and then] to show them only to people for whom they are useful.
It appears to be a big shift away from mass market advertising and toward personalized advertising. This vision no longer has us targeting ads to people in general, but to each individual's intent, preferences, and context.
[Thanks, John Battelle, for the pointer to Susan's post]