OpenAI is integrating ads into ChatGPT’s image generation feature. A system determines, based on the content of the conversation, whether and where ads are shown. The company announced this in a blog post.
Although these ads are already active for free and Go users in 31 European countries, rollout for a select group of US advertisers is scheduled for later this month. According to the company, the ads are clearly labelled as advertising. They highlight products and experiences, but do not affect the answers that ChatGPT generates.
From a business perspective, OpenAI sees advertising as a way to expand its reach beyond the subscription model, drawing on a weekly user base of 1.2 billion people. However, the company faces strict oversight in Europe. In August, the European Commission classified ChatGPT as a large online search engine, because its monthly number of users in the EU of around 159 million far exceeded the threshold of 45 million.
This specific designation was a strategic move by regulators to prevent OpenAI from benefiting from the liability protections that are usually granted to online platforms.
As a result of this classification, OpenAI must comply with new transparency requirements by January at the latest. Among other things, this means that for one year the company must maintain a public archive of all ads, including detailed information about the sponsors, the duration, the target audiences and the overall reach.
Interestingly, because ChatGPT is designated as a search engine rather than a platform, it may be able to circumvent certain restrictions of the Digital Services Act that prohibit targeting ads based on sensitive personal data.
To address ethical concerns, OpenAI applies internal safeguards to ensure that no ads appear during conversations that are emotionally vulnerable or inappropriate. This is in line with the Commission’s mandate that the company must monitor risks relating to the mental health of its users.
To ensure that these brand safety measures are effective, DoubleVerify and Integral Ad Science will carry out assessments in a simulated environment that protects the privacy of actual user conversations.
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