‘Maybe ChatGPT is a different kind of a place’: Why OpenAI is saying no to search budgets — for now

Three months into testing ads, OpenAI has significantly changed. An ads manager is now up and running, pricing has come down and ad tech partnerships have been struck. What hasn’t shifted is the pitch to advertisers: we want test budget ad dollars, not search. That’s a notable position for a platform that just made performance-based buying available.

Marketers can now buy ads based on if they’re clicked on inside ChatGPT. When that option was reported by Digiday last month, the assumption was that OpenAI would start making the case for search ad dollars. After all, letting advertisers pay for ads that trigger a direct response from someone puts it structurally in line with how search advertising is bought and measured. According to OpenAI ad execs, that’s not the plan. On the contrary, the opposite is true. 

“No, I think maybe ChatGPT is a different kind of a place,” Asad Awan, ads and monetization lead at OpenAI, told Digiday during a press briefing. “So I think this is not the same as a discovery platform feed or pure search.” 

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How Ace Hardware built its employee AI assistant

This story was originally published on sister site, Modern Retail.

Ace Hardware is a unique retailer, being a cooperative with more than 5,200 stores that are operated independently. As a result, its executives and development team took a careful approach in designing and implementing its new AI assistant to work throughout the chain.

Last week, Ace Hardware announced that it has launched an AI assistant for employees in more than 2,300 stores. The tool is called “Hey ARMA,” referring to its Ace Retailer Mobile Assistant platform used in stores. It provides product information, project advice and recommendations, and can compare different products or help customers with products they may have purchased elsewhere.

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