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ChatGPT Ads hits $1bn revenue run rate

OpenAI says ChatGPT Ads has reached a $1bn annualised revenue run rate less than 200 days after launching, as the platform expands its advertising offering beyond the US.

Using context

The company said tens of thousands of advertisers are now using ChatGPT Ads, with advertisers in India, Europe, the Middle East and North Africa gaining direct access through Ads Manager from 31 August.

Ads are currently available in more than 40 countries, with OpenAI positioning advertising alongside subscriptions, enterprise products and API usage as part of its broader business model.

The advertising platform uses the context of a user’s ChatGPT conversation to deliver relevant ads, with broader ChatGPT activity potentially used depending on the user’s country and settings. OpenAI says ads are clearly labelled and kept separate from ChatGPT’s answers, while advertisers do not have access to users’ private conversations.

More markets

OpenAI also says small and medium-sized businesses now account for a “material share” of its advertising business, following the launch of Ads Manager in May. The platform has expanded to more than 50 technology and measurement partners and introduced features including CPC and outcome-optimised bidding, product feeds, geographic targeting and custom audiences.

The company says its next phase will focus on expanding into more markets while adding advertising formats, campaign objectives, buying options and measurement capabilities.

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