Ads work when you can server $.01 worth of ads to a user for $.0001 of server cost. I fail to see how you can make it work when doing LLM inference which is significantly costlier than web search.
I recently saw some discussion about the CPC for personal injury lawyers being ~$200 on Google ads. Seems insane to me, but I’m totally disconnected from the advertising world. That said, depending on the conversion rates between chats and clicks, the math could be favorable for OAI.
90+% of queries are probably so common/evergreen that, if a cheaper model made all the different language varients and ways of asking the question into one query, they could be cached quite effectively.
Ads work when you can server $.01 worth of ads to a user for $.0001 of server cost. I fail to see how you can make it work when doing LLM inference which is significantly costlier than web search.
I recently saw some discussion about the CPC for personal injury lawyers being ~$200 on Google ads. Seems insane to me, but I’m totally disconnected from the advertising world. That said, depending on the conversion rates between chats and clicks, the math could be favorable for OAI.
In about 4 months, OpenAI’s fundraiser decks will leak, which will include their current ad revenue.
90+% of queries are probably so common/evergreen that, if a cheaper model made all the different language varients and ways of asking the question into one query, they could be cached quite effectively.