OpenAI positions ChatGPT as a commercial and advertising platform

OpenAI is evolving ChatGPT from a conversational assistant into a commercial platform through the introduction of its Apps SDK and a growing advertising business. The Apps SDK allows brands to deliver services, transactions, and personalized experiences directly within natural language dialogues, reducing the friction typically found in traditional website or mobile app interfaces.

OpenAI Chief Financial Officer Sarah Friar described the company’s potential advertising model as a combination of Google and Meta. While Google captures high-intent search queries and Meta leverages deep user interest data, ChatGPT aims to combine both by utilizing user context and memory to understand specific needs and preferences.

According to Friar, OpenAI’s advertising operations are already generating cash at an annualized rate of approximately $1 billion, just seven months after the introduction of ads on the chatbot. The company currently utilizes basic advertisements for free and Go subscription tiers and is working toward more sophisticated formats.