Query interpretation is the conversion of a human message into a machine intent that the rest of the pipeline can act on. Four things come out of it: an intent type, a set of resolved entities, a set of constraints, and a routing decision about whether to retrieve anything at all. The distinction that matters is that your prompt is not a query. “Is this worth it for a two-person team?” is a conversational turn; what stage two receives is a structured intent, and what stage three receives is a set of search strings that may share very few words with what you typed.
Google describes the step immediately downstream in its own documentation: AI Overviews and AI Mode “may use a ‘query fan-out’ technique” that issues “multiple related searches across subtopics and data sources” to develop a response.1 The subtopics that fan-out expands into are drawn from the interpretation, not from the literal string. That is the whole reason a page can be retrieved for a question that shares no vocabulary with it, and the reason a page can miss a question it seems to answer perfectly.