OpenAI CFO Sarah Friar says ChatGPT's ads should be like 'if Google and Meta had a baby'
OpenAI's CFO, Sarah Friar, discussed ChatGPT's ad strategy at a conference, revealing that the company is on track to reach $1 billion in annual revenue.
OpenAI's CFO, Sarah Friar, likened ChatGPT's advertising strategy to a hypothetical merger between Google and Meta. Speaking at a Goldman Sachs conference, Friar explained that OpenAI aims to turn ChatGPT into a profitable advertising platform, similar to its predecessors. In just seven months, OpenAI's ads business on the chatbot has generated $1 billion in revenue, assuming the same rate continues throughout the year.
Friar believes ChatGPT can leverage user data to combine Google's high-intent search capabilities with Meta's contextual understanding of social media users. While OpenAI currently serves simple ads within ChatGPT responses, Friar anticipates a more sophisticated and personalized ad format in the future. This shift in strategy marks a significant change from OpenAI's previous stance, as CEO Sam Altman once dismissed the idea of combining ads and AI as "uniquely unsettling."
Written by urgent.news from Business Insider's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
Also reported by 3 other outlets
- OpenAI releases ChatGPT Images 2.5 with ‘sharper details’ and ‘more precise editing’ 9to5mac.com
- OpenAI launches ChatGPT Images 2.5, which it says cuts image generation latency by up to 50% vs. Images 2.0, and adds a Sketch feature for drawing in ChatGPT (Ina Fried/Axios) axios.com
- Google web traffic is 'steady,' while ChatGPT, Gemini see gains: BofA seekingalpha.com
