OpenAI to test ads on ChatGPT as it looks to diversify revenue streams

OpenAI is set to roll out advertising on ChatGPT, signalling a major change in its monetisation approach as the company seeks new revenue avenues to offset the escalating costs of building and maintaining AI infrastructure. The San Francisco-based firm has confirmed it will start testing ads in the coming weeks for logged-in adult users in the US, limited to the free version and its lower-cost Go subscription.

The advertisements will be displayed at the bottom of ChatGPT responses and will be clearly marked, with a distinct visual separation from organic replies. OpenAI stated that ads will only be shown when they are relevant to a user’s active query. Premium subscription tiers including Plus, Pro, Business, and Enterprise—will continue to offer a completely ad-free experience.

This development highlights the mounting financial strain facing OpenAI, which has pledged to invest nearly $1.4 trillion over the next ten years in data centres and computing infrastructure. The company has acknowledged that profitability is still several years away.

Advertising is being positioned as one of multiple revenue streams that could help sustain this scale of investment. OpenAI is also reportedly in preliminary talks with investors regarding a potential funding round that could raise approximately $80 billion.

The company expects advertising to generate low single-digit billions in revenue in 2026, with projections pointing to stronger growth in subsequent years. OpenAI had previously considered introducing ads in late 2024 but paused those plans to prioritise intensified competition with rivals such as Google and Anthropic.

While advertising has long driven growth for tech giants like Google and Meta, OpenAI had earlier resisted the model due to concerns about eroding trust in ChatGPT’s responses. With the chatbot now widely used for both personal and professional purposes, the company has stressed that ads will not influence answers and that user conversations will not be shared with advertisers.

Recently, OpenAI has expanded ChatGPT’s ability to store and recall information from past interactions, allowing for more personalised user experiences. Although this feature could enable more targeted advertising, users will maintain control, including the ability to disable personalisation and delete stored data.

The introduction of ads forms part of OpenAI’s broader expansion strategy. ChatGPT Go, priced at $8 per month, has been launched across 171 countries since August and is now being extended to the US and additional regions. Alongside this, OpenAI is developing AI hardware, enterprise and government offerings, and new shopping tools, as it works to build a diversified and sustainable business model in an increasingly competitive AI market.