And they knew from the very beginning ads would corrupt the search engine because Sergei Brin and Larry Page wrote an article about it:
Up until now most search engine development has gone on at companies with little publication of technical details. This causes search engine technology to remain largely a black art and to be advertising oriented
…
Currently, the predominant business model for commercial search engines is advertising. The goals of the advertising business model do not always correspond to providing quality search to users
…
Furthermore, advertising income often provides an incentive to provide poor quality search results […] In general, it could be argued from the consumer point of view that the better the search engine is, the fewer advertisements will be needed for the consumer to find what they want. This of course erodes the advertising supported business model of the existing search engines. […] But we believe the issue of advertising causes enough mixed incentives that it is crucial to have a competitive search engine that is transparent and in the academic realm.