OpenAI Hires Meta Vet as It Preps ChatGPT Ad Launch
OpenAI is reportedly weeks away from adding advertisements for some U.S. ChatGPT users.
The artificial intelligence (AI) startup will show ads to all U.S. users of ChatGPT’s free and Go versions, Reuters reported Saturday (March 21).
And as the company prepares for the launch, it has hired Dave Dugan, a former top advertising executive for Meta, to oversee its as sales, The Wall Street Journal reported Monday (March 23).
This follows a third report this weekend from CNBC said that some advertisers are frustrated by what they see as the slowness of the ad program’s rollout. OpenAI told the network the speed of the launch was intentional.
“We’re in the early testing phase of ads in ChatGPT, and the goal right now is to learn and refine the experience for consumers before expanding it more broadly,” the company said. “We’re encouraged by early signals from users and participating brands, and continue to see strong interest from advertisers.”
OpenAI announced plans to bring ads to ChatGPT in January, part of an effort to seek out new sources of revenue as use of ChatGPT has jumped. The startup is dealing with increasing computing costs and rising competition from other AI players.
Recent research from PYMNTS Intelligence found consumer AI adoption of AI tools reaching a critical point: More than 6 in 10 adults in the United States turned to a dedicated AI platform last year at least one time, using the technology for everything from managing their finances and health to planning trips to shopping and writing.
As PYMNTS wrote last month, this rises to around two-thirds among millennials and Gen Z, underlining how rapidly AI is becoming a part of life for younger consumers, many of whom have never lived in a world without the internet.
“What’s more, typical AI users aren’t just sampling the technology occasionally,” the report added. “We classify about 4 in 10 consumers as either ‘mainstream’ or ‘power’ users, meaning that they use AI frequently and for a wide range of tasks.”
And among these users, PYMNTS Intelligence research shows, ChatGPT is the most popular AI platform, with 80% of AI users turning to at least once, compared to 48% for Google Gemini and 30% for Microsoft Copilot.
In announcing its ad plans, OpenAI pledged that the AI assistant’s responses would be driven by “what’s objectively useful,” rather than by advertising. The company has said ads will be clearly labeled and separate from ChatGPT’s organic answers.
As covered here in February, Target, Adobe, Williams-Sonoma and Albertsons were among the companies that have taken part in OpenAI’s ad tests.
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