Google has confirmed a bug within the Google AdWords Image Ads feature, with advertisers who try to upload SVG images as embedded images.
Cassie from Google confirmed the bug last night saying:
We heard back from the tech team and this is a known issue that they're working to fix. In the meantime, you can use this workaround:Because the validator doesn't pick up on shorthand tag closing in a SVG, you will need to convert the shorthand notation "<path ... />" to full "<path ... ></path>" for the system to parse it as expected.
It seems like Google is altering the SVG images. There is no ETA for a fix but Google is now aware of it.
Forum discussion at Google AdWords Help.