OpenAI is planning to introduce ads on ChatGPT, as it continues to struggle with revenue from paid users.
OpenAI, valued at about $500 billion, plans to spend billions in the coming year, but it does not have a reliable revenue source.
As per the Financial Times, ChatGPT has about 800 million users, but only 5% percent pay. Moreover, OpenAI's 70% of $13 billion revenue comes from paying customers.
GPT has three subscriptions. Go starts at $5 in some regions, Plus is for $20, Pro is for $200, and then we have enterprise customers with custom pricing.
Ahead of its plans to go public, OpenAI is internally debating whether it should show ads on ChatGPT.
"Some users already assume ChatGPT's answers are ranked based on sponsorship and that the company sells ads, according to OpenAI focus groups. Some staff have used these findings to advocate for adding advertising," The Information reported last week.
The Information reports that 630 former Meta employees are now at OpenAI, which accounts for approximately 20% of the startup's workforce.
OpenAI is slowly heading towards “Meta-fication," where ads could be the primary source of revenue.
OpenAI originally started with AGI goals, i.e developing AI for human benefits, but it's slowly pivoting to a consumer product company.
Google also confirmed that it plans to bring ads to its new AI search experience, as it plans to make AI mode more personal.
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