This is what will be remembered as the pre enshittification age for AI, just like we had with social media and other web and app stuff.
Local models for tech savvy people will get more compelling.
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This is what will be remembered as the pre enshittification age for AI, just like we had with social media and other web and app stuff.
Local models for tech savvy people will get more compelling.
- ~1 billion users in just 3 years - Extremely personal data on users - Novel way of introducing and learning more about sponsored products - Strong branding for non-techie people (most normal people don't know what Claude or Gemini are) - An app that is getting more and more addictive/indispensable I think OpenAI is going to kill it in ads eventually. This is why Meta and Google went all in on AI. Their lucrative di…
Also ads in LLM can be perfectly merged with the content, it'd be impossible to know if LLM tells you something because that's the most likely useful answer or the most profitable one for its owners. Can't be just ad-blocked either, it might be the ultimate channel for ads. > how strong of a moat there actually is for ChatGPT. None of the above requires OpenAI to be around though. Google, Apple and Microsoft each hav…
- Ad
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And include an ad section within the text. Alternatively, if it tells you something because that company is a sponsor, it could just include an appropriate disclaimer.
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> most normal people don't know what Claude or Gemini are In think the point is that they don’t need to know what Gemini is, they just need to know Google, which they most definitely do. IMO ads rollout won’t be as simple as you’re describing it. A lot of people have switched from Google search to AI specifically because it isn’t filled with SEO, ad filled nonsense. So they’ll need to tread very, very carefully to in…
> most normal people don't know what Claude or Gemini are That's actually changed a while ago.
I think there are too many good alternatives for Chatgpt to turn the screws too hard on their users, but we'll see where it settles out. As usual, the most vulnerable will be squeezed the hardest (the ignorant and tech feeble). Hopefully competition and some oversight will keep the wolves at bay.
The finance people were chatting about the OpenAI's ad play a while back, glad to see it finally dawning on this crowd.
1. Not all jurisdictions have granted OpenAI the Chatgpt trademark.
- ~1 billion users in just 3 years - Extremely personal data on users - Novel way of introducing and learning more about sponsored products - Strong branding for non-techie people (most normal people don't know what Claude or Gemini are) - An app that is getting more and more addictive/indispensable I think OpenAI is going to kill it in ads eventually. This is why Meta and Google went all in on AI. Their lucrative di…
The problem is that going for ads basically is an admission that AGI is nowhere close to what they pretend. People are valuating it for "skynet is around the corner" not "we're going to kill our product by polluting our answers and inserting ads everywhere"
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Why stop there? You want to refactor your codebase? Sure, but you need to adopt this dependency and this cloud service. Mixing Ads or sponsorships to influence LLMs is a really, really bad idea. Especially when they're competing with Search ... which means that for some, "AIs" are the only window into the world when looking something up.
> Sure, but you need to adopt this dependency and this cloud service. THIS. Asked to make an app using AWS? “I can do that, but have you considered the lower lifetime costs of using Azure? I can generate a configuration for AWS, Azure, or produce a price comparison table. Let me know which you prefer.”
There is so much other stuff that goes into why business make decisions about any large contract. I’m not in cloud sales. But I venture just close enough to the sun not to get burned
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Aka you need them deep enough into the trap they can’t escape, before you trigger it.
Can anyone explain to me what ChatGPT does that traps people? I get the value as tools, I like using copilot, but ChatGPT doesn't offer me value that any other LLM can't. Given that everyone is quickly rolling "AI" into their own stuff, I don't see what's ChatGPT's killer app. If anything, I think Gemini is better positioned to capture the general user market.
When was the last time you went to an actual physical library, for instance? Or pulled out a paper map?
Gemini is a competitor, yes. But most people still go to Google at this point, even if there are a ton of competitors.
That is what the race is about (in large part), who can become ‘the norm’.
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Claude? I’d be extremely surprised. Gemini? As gemini.google.com or as the thoroughly mediocre “AI summaries” on top of Google Search results?
Claude has been aggressively advertising on Facebook, Instagram, and Reddit, and the ads have been much more general use than just the code benefits. They’re definitely no ChatGPT, but they’re not an unknown player.
For me that’s mostly because every AI startup is promising the moon on their billboards, lol.
> Look inside
> Ads
- ~1 billion users in just 3 years - Extremely personal data on users - Novel way of introducing and learning more about sponsored products - Strong branding for non-techie people (most normal people don't know what Claude or Gemini are) - An app that is getting more and more addictive/indispensable I think OpenAI is going to kill it in ads eventually. This is why Meta and Google went all in on AI. Their lucrative di…
I think investors would certainly love this. So why hasn’t it already happened? My guess: they would lose a ton of cultural cachet. Turning OpenAI into an ads business is basically admitting that AGI isn’t coming down the pipeline anytime soon. Yes, I know people will make some cost-based argument that ads + agi is perfectly logical. But that’s not how people will perceive things, and OpenAI knows this. And I think t…
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Spinning up an all-new ad network is pretty tough. I would think OpenAI would need to beat Meta/Google on basics like CPM in order for the network effects to make it desirable for ad vendors over Meta/Google. Ad budgets are fixed and zero-sum and vendors (in my head, I don't know) would prefer to spend their money on the best network giving the best results. I don't know if ads in LLM chats can get there.
Spotify, Netflix, Amazon Prime, Reddit, Twitter etc all have increasingly profitable ads I'm sure llm providers will also figure it out in due time. Consumer products are generally a good fit for ads, even if it takes time to reach full potential