Doesn't blending in adsense into a site...to the point where it could confuse people that it's not ad, violate Google's TOS? And get you banned?
I think, the question was blending with the content and not with your ads. I think, innovatingly blending should not be bad, and you can not remove the title as "ads by google...". However, i would suggest write to google adsense, send them the link of your page and offer to change if it does not comply. I am sure they are +ve and respond pretty fast Immigrate Canada, Export online
google is hecka fast. I sent them an email about something out of compliance that I was going to fix. I got a very nice email within 5 minutes. I almost fell out of my chair at the response time.