How does uncapping budgets help to fully capture AI's benefits?

Uncapping budgets allows Google Ads AI to fully optimize performance by providing the necessary flexibility to bid competitively and capture all available conversions within your target CPA or ROAS. When budgets are constrained, the AI's ability to explore and adapt to real-time opportunities is limited, preventing it from reaching its full potential. AI works across various campaign types and budget sizes, not just new campaigns with high daily budgets. While campaigns may spend more to reach more customers, the primary benefit of uncapping budgets for AI is enabling optimal bidding and conversion capture, not simply increased spending. Smart Bidding strategies do not revert to manual bidding due to budget limitations; instead, they operate within the given budget constraints, which can hinder performance.