Tech
tech

Report: OpenAI has started mocking up what ads in ChatGPT could look like

2025 saw OpenAI ink a flurry of massive deals. To pay for it all, the company has realized that it can’t get there on $20-per-month subscriptions alone; it also needs to monetize its hundreds of millions of free users.

To this end, despite repeatedly denying that ads are coming to ChatGPT, a new report says OpenAI is actually working through all those details.

Citing people familiar with the discussions, The Information reports employees have discussed different ways to prioritize sponsored information in ChatGPT in response to relevant queries.

Since ChatGPT burst onto the scene in late 2022, its offerings have been ad-free, relying instead on a freemium subscription model. But with Google recently telling advertisers it plans to bring ads to Gemini next year, and with OpenAI burning through truckloads of cash, the pressure to follow suit is growing.

OpenAI is looking at its AI model-developing competitors Meta and Google, which are pulling in hundreds of billions of dollars per year in advertising revenue, to arrive at this conclusion. It’s also seemingly inspired by Amazon’s (and Google’s) idea of sponsored product placement.

Per the report, in addition to trying to build new kinds of ad units, OpenAI is considering a few options:

  • Leaning into chats that are clearly about buying a product and giving priority placement to sponsored results — though this works out to only about 2.1% of queries, according to OpenAI.

  • Showing ads based on the treasure trove of information it has on users, by mining their chat histories.

  • A “sponsored” sidebar showing ads related to the conversation.

But the company realizes it has to be careful to not turn off users, who might not trust a chatbot that peppers sensitive conversations with ads.

Citing people familiar with the discussions, The Information reports employees have discussed different ways to prioritize sponsored information in ChatGPT in response to relevant queries.

Since ChatGPT burst onto the scene in late 2022, its offerings have been ad-free, relying instead on a freemium subscription model. But with Google recently telling advertisers it plans to bring ads to Gemini next year, and with OpenAI burning through truckloads of cash, the pressure to follow suit is growing.

OpenAI is looking at its AI model-developing competitors Meta and Google, which are pulling in hundreds of billions of dollars per year in advertising revenue, to arrive at this conclusion. It’s also seemingly inspired by Amazon’s (and Google’s) idea of sponsored product placement.

Per the report, in addition to trying to build new kinds of ad units, OpenAI is considering a few options:

  • Leaning into chats that are clearly about buying a product and giving priority placement to sponsored results — though this works out to only about 2.1% of queries, according to OpenAI.

  • Showing ads based on the treasure trove of information it has on users, by mining their chat histories.

  • A “sponsored” sidebar showing ads related to the conversation.

But the company realizes it has to be careful to not turn off users, who might not trust a chatbot that peppers sensitive conversations with ads.

More Tech

See all Tech
tech

OpenAI employees are cashing out their shares, dozens making $30 million each

OpenAI’s planned IPO later this year is expected to be one of the largest of all time. Employees who got equity early on are sure to reap a windfall when the company shares hit the public markets.

Often these pre-IPO shares can’t be cashed in until the company goes public, and many startups have longer lockup periods before employees can sell their shares.

But The Wall Street Journal reports that OpenAI has a relatively short two-year vesting period, and the company allowed employees to sell shares before the IPO via a tender offer, as long as they’ve reached the two-year mark.

According to the report, in October, more than 600 current and former OpenAI employees sold shares through this process, minting a cluster of new multimillionaires. The Journal said about 75 of those walked away with $30 million (the maximum sale amount for this offer).

But The Wall Street Journal reports that OpenAI has a relatively short two-year vesting period, and the company allowed employees to sell shares before the IPO via a tender offer, as long as they’ve reached the two-year mark.

According to the report, in October, more than 600 current and former OpenAI employees sold shares through this process, minting a cluster of new multimillionaires. The Journal said about 75 of those walked away with $30 million (the maximum sale amount for this offer).

tech

Intel pops on reported Apple chip deal

Intel soared more than 14% on a Wall Street Journal report saying the company has reached a preliminary agreement with Apple to manufacture chips for the iPhone maker. Intel, already on a tear as of late, jumped earlier this week when Bloomberg first reported the two companies were in talks. It’s still unclear which chips Intel would manufacture for Apple, which has been facing supply constraints for its iPhone as well other products.

In any case, the deal could help Apple ease supply constraints that have hit some of its products and reduce its reliance on longtime partner TSMC, as it aims to bring more chip manufacturing stateside.

In any case, the deal could help Apple ease supply constraints that have hit some of its products and reduce its reliance on longtime partner TSMC, as it aims to bring more chip manufacturing stateside.

Microsoft CEO Satya Nadella (R) greets OpenAI CEO Sam Altman during the OpenAI DevDay event

Emails show Microsoft wasn’t impressed by OpenAI’s early work, but wanted to keep it from Amazon

OpenAI wanted further Azure computing discounts, but Microsoft didn’t think it was on the verge of a breakthrough.

Latest Stories

Sherwood Media, LLC produces fresh and unique perspectives on topical financial news and is a fully owned subsidiary of Robinhood Markets, Inc., and any views expressed here do not necessarily reflect the views of any other Robinhood affiliate, including Robinhood Markets, Inc., Robinhood Financial LLC, Robinhood Securities, LLC, Robinhood Crypto, LLC, Robinhood Derivatives, LLC, or Robinhood Money, LLC. Futures and event contracts are offered through Robinhood Derivatives, LLC.