OpenAI Shifts ChatGPT Ad Model to CPC, Targeting $2.4-2.5B Ad Revenue in 2026

Gate News message, April 16 — OpenAI is transitioning ChatGPT’s advertising model from cost-per-impression (CPM) to cost-per-click (CPC), set to be applied to advertisers within days, according to Disinformation. The shift comes as the company faces mounting pressure from a projected $14 billion loss this year, driven by surging computing costs despite ChatGPT’s weekly active users approaching 900 million.

The move reflects structural challenges with OpenAI’s subscription model. While 900 million users engage with ChatGPT weekly, only 5% pay for premium tiers, leaving most users generating costs without revenue. CEO Sam Altman previously noted that even $200-per-month subscribers can incur losses due to high inference costs. OpenAI has set 2026 ad revenue targets of $2.4-2.5 billion, with plans to scale to $11 billion by 2027.

OpenAI is also testing action-based ad formats and requiring advertisers to commit $30,000-50,000 monthly spend. The platform separates ads from ChatGPT responses to preserve user trust. Paid tiers (Plus, Pro, Business, Enterprise) remain ad-free, while Free and ChatGPT Go users see advertisements. Industry analysts view the CPC adoption as a direct challenge to Google and Meta’s search and performance ad markets, as AI-generated answers with contextual commercial links may offer higher conversion efficiency than traditional keyword advertising.

Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to Disclaimer.

Related Articles

DeepSeek Reportedly Launches First External Fundraising Round, Targets $10B+ Valuation and $300M+

DeepSeek, a Chinese AI startup, is negotiating its first external funding round, aiming for at least $300 million at a $10 billion valuation. Despite previous rejections of investment offers, its fundraising discussions are now reportedly underway.

GateNews10m ago

ChatGPT ads move into Australia and New Zealand: Free and Go users first, paid plans stay ad-free

OpenAI expanded ChatGPT advertising on April 17, 2023 to Australia, New Zealand, and Canada for Free and Go users, with no ads for paid users. This marks the second pathway toward AI commercialization and takes into account business and regulatory risks, where the presence of ads can promote paid conversions.

ChainNewsAbmedia2h ago

Hyundai Motor Group Reorganizes Around AI and Robotics, Targets 30,000 Atlas Robots by 2030

Hyundai Motor Group is restructuring to focus on AI and robotics, reducing traditional operations. It plans a $34.3 billion investment in robotics by 2030 and aims to launch a robotics-as-a-service model, collaborating with Google DeepMind and NVIDIA.

GateNews5h ago

NEA explores use of artificial intelligence in nuclear regulation

The NEA Working Group on New Technologies convened a workshop on March 25--26, focusing on how artificial intelligence can be applied to regulatory oversight and internal operations within nuclear authorities. Summary NEA workshop explored real-world AI applications in nuclear regulation, with

Cryptonews7h ago

China to Test 300+ Humanoid Robots in Beijing Half-Marathon on April 19

Beijing's second robot half-marathon features over 300 humanoid robots from 70 teams competing on a 21-km course. Advances in autonomous movement are highlighted, with 40% operating without control. China dominates the humanoid robot market, despite production challenges.

GateNews10h ago

US Seeks Increased Namibian Uranium Imports to Power AI-Driven Nuclear Plants

The U.S. is contemplating increased uranium imports from Namibia to support nuclear energy for AI data centers, as China dominates Namibia's uranium sector. Rising uranium prices are reviving mining interests, despite water supply challenges in the arid region.

GateNews10h ago
Comment
0/400
No comments