OpenAI is planning to introduce ads to ChatGPT on a test basis for certain adult users in the US, signifying a major shift in how the tech giant generates revenue from its signature product.
The ads will be tested in the free version of ChatGPT and within the “Go” subscription, a lower priced US $8 (AUD $12) per month plan, which has recently expanded into the US market. The more costly plans will remain ad-free, maintaining an option for users who don’t wish to see advertisements.
The introduction of advertising to ChatGPT is being positioned as a means of support for OpenAI’s broader business strategy as it aims to achieve long-term financial stability. It is not expected for the venture in advertising to be profitable in the near future as the company faces colossal operating costs in regards to building, training and running these new systems. OpenAI will spend roughly $1.4 trillion ($2 trillion) on AI infrastructure including specialised chips and data centres.
The AI company has defined a set of principles aimed at reducing the impact on user experience. Ads will not sway answers that ChatGPT provides. Ads will be explicitly labelled and clearly placed at the bottoms of answers.
User privacy is also outlined in the principles. Any and all conversations with the AI chat bot will remain completely confidential and will not be shared with advertisers. Users will have the opportunity to customise their ad experience, including the ability to dismiss ads and provide feedback on particular ads.
“It’s a meaningful shift for current digital advertising strategies and media plans, but not because of formats or reach. ChatGPT advertising moves paid media closer to the point of decision, which changes how brands are judged. Strategies built on volume, frequency, and persuasion will struggle, while brands with clear positioning and evidence will benefit. This isn’t a new line item in the media plan, it’s a stress test of fundamentals,” said Dan Hunjas founder and director of Edge Marketing.
In the trial period, advertisements won’t be shown to users under the age of 18, both through OpenAI are prediction measures of the users own assertion of age. Ads will also be excluded from regulated or particularly sensitive topics, including politics and mental health.
Open AI has emphasised that it will not leverage ChatGPT for engagement to drive ad revenue. Instead, it has positioned the move as a means for keeping AI tools accessible to the masses whilst emphasising trust and experience, alongside advertisements.
