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ChatGPT parent company OpenAI is considering introducing advertisements to the popular chatbot’s platform. While this move could help cover its increasing operational costs, CEO Sam Altman has said in the past that it’s a step he would prefer to avoid unless absolutely necessary. During a recent fireside chat at Harvard Business School, Altman described ads as a “last resort,” expressing his discomfort with blending advertising and AI.
“Ads-plus-AI is uniquely unsettling,” he said, stressing his preference for the company’s current subscription-based model. However, CFO Sarah Friar has indicated that advertising could be on the table.
“Thoughtful Approach” to Advertising
OpenAI has “no active plans” to introduce ads but acknowledged that the company might explore it as a future revenue stream. Friar stressed the need for careful consideration, stating the company would be “thoughtful about when and where we implement” ads.
“Our current business is experiencing rapid growth, and we see significant opportunities within our existing business model,” she told the Financial Times.
This discussion comes as OpenAI faces mounting expenses, reportedly projected to surpass $5 billion in 2024. Despite raising significant funds and achieving rapid growth in its subscription services, maintaining and expanding generative AI tools like ChatGPT is resource-intensive. The company has also recently hired ads experts from Google and Meta, further fueling speculation about its intentions.
The potential introduction of ads raises critical questions about trust and user experience in AI platforms. OpenAI would not be the first to take this path—competitors like Microsoft’s Bing Chat and Perplexity AI have already integrated ads.
In the meantime, the company is focusing on expanding its existing product lineup as it recently introduced SearchGPT, a real-time search capability, and there are rumors that it is developing a proprietary web browser to compete with Google.