The entire organization and all its products are built around ads. If a new product comes along that drastically reduces the number of pages a user views, what happens to the ad revenue?
Right now, every click, every query is an impression. But if there's an all-knowing AI answering all my questions accurately, what incentive do I, as a user, have to search again, scroll through pages, and look around multiple pages?
Google will have to adopt a radically new business model and there's organizational inertia in doing that.