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AI-powered search engine Perplexity says it’ll begin experimenting with ads on its platform starting this week.
Ads will appear in the U.S. to start, formatted as “sponsored follow-up questions.” (E.g., “How can I use LinkedIn to enhance my job search?”) Paid media will be positioned to the side of answers, and labeled as sponsored.
Brands and agency partners participating in Perplexity’s ad program include Indeed, Whole Foods, Universal McCann, and PMG.
One of Perplexity’s experimental ad formats. Image Credits:Perplexity“Ad programs like this help us generate revenue to share with our publisher partners,” Perplexity writes in a post on its blog. “Experience has taught us that subscriptions alone do not generate enough revenue to create a sustainable revenue-sharing program. [A]dvertising is the best way to ensure a steady and scalable revenue stream.”
Perplexity asserts that answers to “sponsored questions” will still be generated by its AI — not written or edited by the brands sponsoring the questions. Advertisers also won’t get access to users’ personal info, the company says.
“We intentionally chose these formats because it integrates advertising in a way that still protects the utility, accuracy, and objectivity of answers,” the blog post reads. “These ads will not change our commitment to maintaining a trusted service that provides you with direct, unbiased answers to your questions.”
Perplexity’s embrace of ads stands in contrast to OpenAI’s decision not to launch its AI-powered search tool, ChatGPT Search, with ads. But rival Google has similarly piloted ads in its AI search experience, AI Overviews, recently bringing ads to mobile in the U.S. for certain queries.
Perplexity is said to be marketing its ad products as a premium alternative to Google’s, emphasizing its platform’s ability to reach educated, high-income consumers. But some analysts have expressed concerns about the scale, reach, and targeting capabilities of ads on Perplexity.
Kyle Wiggers is a senior reporter at TechCrunch with a special interest in artificial intelligence. His writing has appeared in VentureBeat and Digital Trends, as well as a range of gadget blogs including Android Police, Android Authority, Droid-Life, and XDA-Developers. He lives in Brooklyn with his partner, a piano educator, and dabbles in piano himself. occasionally — if mostly unsuccessfully.
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