ChatGPT will soon show ads based on user conversations

The AI firm announced that testing will begin in the coming weeks

OpenAI is poised to introduce advertisements for users of its free ChatGPT service, signalling a major shift in its approach to monetization.

The artificial intelligence firm announced on Friday that while ads are not yet live, testing will begin in the coming weeks.

This initiative marks the San Francisco-based company's latest effort to generate revenue from ChatGPT's extensive user base, which numbers over 800 million, with most currently accessing it without cost.

Despite its $500 billion valuation, the startup has been operating at a loss and is actively exploring ways to achieve profitability.

OpenAI said the digital ads will appear at the bottom of ChatGPT's answers (AP Photo/Michael Dwyer)

OpenAI said the digital ads will appear at the bottom of ChatGPT's answers “when there’s a relevant sponsored product or service based on your current conversation.”

The ads “will be clearly labeled and separated from the organic answer,” the company said.