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Aurornistoday at 2:04 AM6 repliesview on HN

The ads are for the free tier and new $8 ad-supported plan.

The revenue from a few ads on the free tier in exchange for limited queries to GPT-5.3 is negligible compared to what they pull in from API costs and the subscription plans. This looks like a play to justify the existence of the previously money-losing free tier as they go into an IPO. Throw some ads in there to make it closer to a neutral on the balance sheet.

The key part of that quote was "everybody in the world". The ads are their way of sustaining the low end of the access.


Replies

nine_ktoday at 3:04 AM

The revenue from highly targeted ads, using even better profiles than Google Search or even Facebook could build, may be non-negligible.

Commercial ads could be a smaller revenue source than political ads.

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chromacitytoday at 2:23 AM

> The revenue from a few ads on the free tier in exchange for limited queries to GPT-5.3 is negligible

So why chase this negligible revenue?

famouswafflestoday at 3:05 AM

>The revenue from a few ads on the free tier in exchange for limited queries to GPT-5.3 is negligible compared to what they pull in from API costs and the subscription plans.

Unless they botch the implementation, it's not going to be negligible with ~800M+ free subscribers.

kingstnaptoday at 2:22 AM

The real question is what do you get out of advertising to people who don't have any money? Kinda squeezing blood from a stone.

You'd be better off saying you use those people to A/B test changes and filling idle GPU batches while giving paying customers a more consistent experience.

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whiplash451today at 6:06 AM

That's how it begins.

giancarlostorotoday at 2:21 AM

> The ads are for the free tier and new $8 ad-supported plan.

Dang.

> The revenue from a few ads on the free tier in exchange for limited queries to GPT-5.3 is negligible compared to what they pull in from API costs and the subscription plans. This looks like a play to justify the existence of the previously money-losing free tier as they go into an IPO. Throw some ads in there to make it closer to a neutral on the balance sheet.

Yeah, I guess this time around Sam Altman can't be lying about how many Monthly Active Users he has.