The new feature was technically released in 2021, but only to a small number of users. But Google is now gradually rolling out a tool called "Organise keywords into ad groups." Tauqueer Aziz first brought this to our attention on Twitter, and a Google spokesperson confirmed it today.
What Google says. Google confirmed the new feature in a statement today:
You could always manually choose to add keywords to ad groups (manually picking which ones to add where). This feature adds the ability to use an automated machine learning system where we suggest which ad groups are the best ones for the keywords, instead of you manually doing the placement.
This should hopefully save advertisers time and effort if they have thousands of keywords/ad groups to sift through. The ability to manually add keywords still exists.