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AI

OpenAI Explores Advertising Frontier for ChatGPT

Nicole Kristine Jovero
Last updated: December 6, 2024 1:12 am
Nicole Kristine Jovero
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1 Min Read
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  • OpenAI considers advertising
  • Expensive AI development needs funding
  • Founder Altman remains skeptical about revenue strategy

Contents
Money Talks: Revenue Strategies EmergeBalancing Act: Costs versus InnovationFounder’s Dilemma: Altman’s Ad Ambivalence

Money Talks: Revenue Strategies Emerge

OpenAI is contemplating an advertising model for ChatGPT, according to recent Financial Times reporting. CFO Sarah Friar hinted at potential ad integration, emphasizing a measured approach to implementation.

The company carefully notes it currently maintains “no active plans to pursue advertising” but appears open to exploring revenue streams.

Balancing Act: Costs versus Innovation

The generative AI powerhouse has traditionally relied on subscription models to fund its technological development. However, the astronomical expenses associated creating and maintaining advanced AI models present significant financial challenges. Investors may become hesitant to continuously inject massive capital into the project.

Founder’s Dilemma: Altman’s Ad Ambivalence

This potential advertising strategy seemingly conflicts the company’s founder, Sam Altman, who previously described ads near AI technologies as “uniquely unsettling.

“During a Harvard Business School discussion, Altman positioned advertising a “last resort” option, revealing his personal reservations about integrating advertisements into OpenAI’s ecosystem.

TAGGED:div5

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