Perplexity AI to Incorporate Brand Ads in Chat Queries

Léa Dubois
1 min read

Perplexity, a generative AI search engine, is set to introduce ads in a new way by incorporating brand-sponsored queries as follow-up suggested questions in ongoing AI conversations. This move is aimed at letting brands influence related questions, potentially directing users towards specific products. Around 40% of Perplexity's queries are related questions, and the introduction of brand-sponsored queries is expected to occur in the upcoming quarters. The integration of ads by Perplexity comes at a time when the rest of the generative AI industry is adopting a 'freemium' model, with the likes of ChatGPT, Copilot, and Claude offering a free version of their AIs while also providing advanced versions for a monthly cost. Unlike these companies, Perplexity also offers a paid version, as running AI chatbots can be expensive, with costs estimated to be 10 times more than traditional Google searches. Perplexity is described as an 'answer engine' that bridges ChatGPT and Google, with investors including Jeff Bezos and former YouTube CEO Susan Wojcicki. It is valued at $522 million as of January and is similar to Microsoft Copilot, integrating AI chat and search links, as well as images. The introduction of advertising by Perplexity will add another layer of filtering for users, who are advised to verify information obtained from this answer engine.

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