Islamabad, Dec 3: The Financial Times reports that OpenAI, the firm that created the well-known AI chatbot ChatGPT, is thinking about introducing ads to its platform. The company is investigating an ad-supported business model.
But CFO Sarah Friar told the newspaper that she intends to exercise caution over the placement and timing of advertisements. Friar added in a later statement that while there aren’t any immediate plans to launch advertisements, the concept is being studied inside the organization.
Additionally, the Financial Times report mentioned that Shivakumar Venkataraman, a former Google executive with substantial advertising experience, was recently hired by OpenAI. This action adds credence to rumors that the business may switch to an ad-based revenue model.
The main source of funding for OpenAI’s generative AI tool development has been subscription fees. But the enormous expenses of developing and running these models have sparked questions about the long-term viability of the business. OpenAI is looking at other sources of income because investor money is limited.
Introducing advertising is one possible solution, a move that has elicited conflicting responses. In a recent fireside chat at Harvard Business School, OpenAI founder Sam Altman voiced his concerns about this strategy, saying it would be a “last resort.” He stressed his general distaste for advertising and his worries about the possible drawbacks of merging AI with marketing, even if he accepted the viability of doing so.
