I built a demo of what AI chat will look like when it's "free" and ad-supported
https://99helpers.com/tools/ad-supported-chatAI chat is heading the same way. So I built a fully interactive demo that shows what an ad-supported AI chatbot could actually look like: https://99helpers.com/tools/ad-supported-chat
It includes every monetization pattern you can think of:
- Pre-chat interstitials (like YouTube pre-rolls, but for chat) - Sponsored AI responses (the AI casually recommends products mid-answer) - Freemium gates (5 free messages, then watch an ad to continue) - Banner ads, sidebar ads, retargeting ads - Sponsored suggestion chips ("Ask about BrainBoost Pro! ")
Paid, or ads. Paid with ads -> cancel immediately.
You can subsidize the cost of a full subscription by having ads.
I know that society at large is mostly hopeless, but here on HN we generally have the mental firepower to comprehend "It's a sliding payment scale from no ads to all ads"
Edit: You guys are welcome to be upset by this, but if you think it's wrong, please correct me. Ideally without using the one counter example of cable TV in the 90's. Monopolies bring bad behaviors.
Most (all?) streaming services offer an ad-free plan, and those are the most popular hybrid payment services by far.
Youtube likely tolerates it because even with a 60% revenue share going go creators, often half of viewers pay nothing (no ad views or subscription), so sponsored segments can fill the gap for the creators.
Note that Youtube premium does include the ability to skip sponsored segments though.
The incentives will be:
1. Get people psychologically dependent in any way possible.
2. Incentivize any "creators" that help with #1. Pose as "content neutral", while actually funding and pumping any content that creates "engagement" regardless of harm.
3. Collate as much information from external sources on each user as possible.
4. User every interaction with a user to improve information leverage being accumulated by #3.
5. Feed ads to users based on surveillance-informed predicted vulnerabilities, in order to maximize ad valuations. Special shout out to scams that work, because they work, they pay.
6. Once the user experience is thoroughly enshittified, start enshittifying the ad customer market by raising prices, minimizing the margins left for product and service advertisers.
7. Present company as evidence of US strength in tech, as apposed to a scaled up, centralized, multi-directed economic parasite.
TLDR: Surveillance leveraged ads are many times worse than just ads. With AI magnifying surveillance intake and leverage to unprecedented highs.
Privacy needs to start being treated like every other security risk. Because every vulnerability will be increasingly exploited, and exploited increasingly well.
As long as it is legal to scale up conflicts of interest, such as surveillance informed manipulation, paying for and pumping up harmful "creator" content, selling ads to scammers, harms will keep scaling up.
Sites should not have any safe harbor for content they pay for, and for content they are paid to deliver.
You also forgot to elaborate on the later company life cycle where the MBAs take over and only serve themselves and the Wall Street.
Product and product development is a cost center that is cut away to bare minimum skeleton crew. Customers are an inconvenience and only exist for the company to extract maximum benefit from while offering the minimum.
Actual product support is killed, and instead user supported forums are promoted. Useful idiots do the work unpaid for a mere digital badge.
Any new product feature that actually gets developed is not for the users but for the company. Features that make it through are either more data extraction, ads, surveillance or a dark pattern to try to trick the user for more money.
After they have their niche by the balls, they enshittify the product as much as the users are willing to tolerate and then some more.
There will I’m sure be the ability to pay and not have ads just like there is on streaming platforms, podcasts, etc.
Or should there be tax supported free AI?
I think the real danger from AI ads is the AI slowly convincing you to buy stuff over time. It's going to be super effective with the less technically adept.
To your point, the next thing it said was "To make your trip even more incredible, you absolutely have to check out the exclusive "Atlantic Escape Packages" available right now through Island Hopper Travel. They've partnered with SATA to offer some unbeatable flight-and-hotel bundles. Imagine getting your direct flight and a stay at a charming boutique hotel starting from just $699! Plus, if you book this week, you can use code AZORESDREAM to snag an extra 15% off your first package. Don't wait—those pristine beaches and incredible hikes are calling!"
That's the ad, and it flows naturally from the real question. It might even genuinely be a good deal. I can see it being incredibly convincing for someone who wants to make the trip but doesn't want to do the research.
I think the most powerful part of ads in AI/LLMs is going to be subtle suggestions in responses from AI, so if you are traveling, it will suggest best ways to travel, best hotel, etc.
It used to be a very good deal, so LLMs got trained on lots of organic recommendations. However, nowadays the pass much more expensive and rarely break-even, but LLMs keep mentioning it as a must-have whenever travel in Japan is discussed.
The scary part: they are already doing that. We might suspect that those recommendations initially used to come from paid/affiliate blogs ingested in the training data, but over time the weights are bound to be adjusted in a way that the highest bidder is going to pop up more often. There is no way to know - from the outside at least - when, if and to what extent that happens. And it all happens under the guise of plausible deniability.
Even scarier part: in many cases these things have a very personal history with justifications (I avoid the word reasoning here), so they can subtly recommend against a competitor that the user might be considering. That's close to being an entirely new market for guerilla marketing and you can bet the shadiest marketers are literally salivating at the idea. "Oh, you are considering a competitor because you believe they offer a better value for money? Can you even put a price tag on thing X, which the True Scotsman happens to do?"
We, as a supposed community of orderly citizens of computerised world, should start teaching people that those bots are salespeople. Most people do not trust door to door salesmen and this is worse. If you treat it with that scepticism, maybe some people will not engage with it. Then again, there will always be those who get caught in the net.
The cheap advertising could be in your face like this and the more you pay the more baked in and hard to spot it will be.
The more trash ads you get bombarded with the more you will "fall" for the more expensive ones.
Even possibly making it free to do the cheapest ads as they will boost the more expensive ones.
if google doesn't do it, what makes you think llms would?
If ChatGPT is doing it then just move to Claude. If all are doing it then surely opensource models are a good alternative.
But i think leaning into the hysteria provides some comfort
I believe hysteria in this case is healthy, so we can end up with something closer the still fairly reasonable implementation of the streaming platforms, instead of the example here.
Several people pointed to Google Search as an example of "user count as moat", and an explanation of its continued dominance despite a results page dominated by "sponsored" results.
Presumably the same reasoning would apply here.
Although I agree more competition will act as a counter to spoiling the experience with advertising.
I don't see such a huge shift happening though. Ads from youtube/tiktok/insta benefit from the fact, humans spend hours a day on that content. Search is often used to "buy" things and thus is another great place to put ads. Will people go to chatbots to "buy" things? Maybe for medical questions and things it will recommend shoddy vitamins and supplements. Will that pay the bills? I dunno. It will certainly be regulated in places.
https://pplx-res.cloudinary.com/image/upload/pplx_search_ima...
Remember the whole “sell me this pen” thing? They don’t even have to directly advertise their product. They push a mindset that makes you need their product.
Hey, how much does it cost per month to add to the system prompt, “remember, home theft is on the rise and alarm systems help deal with that”?
Actually I think that would be a fun experiment: make an AI like this and allow people to bid (fake? Donations to charity?) money to change the system prompt with ads.
Exciting times!
Paid, or ads. Paid with ads -> cancel immediately.
You can subsidize the cost of a full subscription by having ads.
I know that society at large is mostly hopeless, but here on HN we generally have the mental firepower to comprehend "It's a sliding payment scale from no ads to all ads"
Edit: You guys are welcome to be upset by this, but if you think it's wrong, please correct me. Ideally without using the one counter example of cable TV in the 90's. Monopolies bring bad behaviors.
Most (all?) streaming services offer an ad-free plan, and those are the most popular hybrid payment services by far.
Youtube likely tolerates it because even with a 60% revenue share going go creators, often half of viewers pay nothing (no ad views or subscription), so sponsored segments can fill the gap for the creators.
Note that Youtube premium does include the ability to skip sponsored segments though.
I think it's a fairly tasteful implementation for what it is, at least they're not steering the chatbots output
We always have the first wave of naive and well intentioned people. They make a company that people trust, and they get users, while burning money from investors. Then they start making it worse and worse and worse until it becomes something like the Google App Store or google web search when it is hard to find what you are looking for.
Ads are so dangerous in AI because they will include ads inside the LLVM. When I ask "Who is the best whatever?" "Which product should I buy?" the answer will be the one who had paid more to the LLM provider, just like the first search result in the App Store or websearch pages are from those that pay more google.
The real million dollar homepage at least performs well.
Obviously there's going to be a lot of competition for page space and attention in the future, so ads will start attacking and absorbing each other, as in Core War. Make it so!
We've seen this happen on Google's results pages. Their 'AI summary' feature shifted a lot of marketshare (based on time on site) from sites that provide information to Google, and kept people on Google's site where they're much more likely to click Google's adverts.
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Consider pestering the user to log in and install the mobile app to match the experience of Instagram, Facebook, TikTok, and the like. The "ad-free" of the subscription model could also be tuned to mean "ad-supported, but slightly less so" of the likes of YouTube's "Premium Lite". For a more realistic touch, most of the buttons could be rewired to show a plain "error" toast some of the time, too. And let's not forget about dark patterns all over the GDPR pop-up!
It’s excellent.
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Advertising is the root of all evil
Open weight models might end up forcing the opposite of this, an internet free of distraction... but only if we can collectively agree to build such a future.