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By John Readman

Google announced a shift in how search works after more than 25 years of relative stability. It confirms what agencies like us have been telling clients for months: that Google is now an AI engine. From a familiar search box to AI Mode, the way online searches happen has changed.

​What Exactly Has Changed?

AI Mode and AI Overviews have been rolled further into Google Search, shifting the experience from a list of links to a synthesized response layer built on top of traditional search results.

The most visible change is, of course, the search box. Relatively unchanged for decades, Google now prompts users directly into new AI-led features. Instead of just autocomplete suggestions, users are now offered routes into Gemini models, image and document uploads, and conversational prompts in a way that mirrors ChatGPT. Not only that, but Google now actively encourages long-form conversational queries rather than short keyword-based searches. The search engine is adapting to user behaviour in a way it never has before.

Other Shifts You May Have Missed

Alongside the update to search, Google also shared insights into how people in the U.S. are using AI Mode. Voice and image searches now account for more than one in six searches overall, with image searches growing over 40% month over month. The shift to more conversational search also has become evident, with the average AI Mode search being three times as long as a traditional search query. Perhaps most interesting is the reported 80% increase in “queries related to planning” over the last six months.

​In other words, many people aren’t using AI Mode to answer a question; they’re using it to achieve an outcome. They’re asking real questions that they might have asked a person before. These are queries that may have multiple stages and multiple constraints requiring consideration. Instead of asking questions about a holiday destination (e.g., “best time to visit Paris,” “best hotels in Paris,” “best restaurants near Pigalle”), people are using AI Mode to plan entire trips, with queries that look something like this: “I have a $2,000 budget, I’m free in July or August, I love art, plan me a week visiting Paris.”

​What Do These Changes Mean For Brands?

The entire user journey can now take place within a search engine. A 2024 study by SparkToro found that zero-click searches accounted for 58.5% of all U.S. Google searches. Google’s search revolution means that number is probably going to get much, much higher.

The shift is designed to make users’ lives more convenient, but it could make yours a lot harder. As AI agents bring more interactions away from your site and centralize them within search engines, the typical ways we track and analyze user data have to change. We no longer can rely on website sessions, UTM codes or clean user click journeys, making your current attribution model largely obsolete.

​What Should You Do About It?

While Google’ overhaul represents a new phase in how we view user journeys, build our brand presence online and measure success, the fundamentals of search are still the same. Google still values good quality brands that understand their customers, and are trusted by others—it has simply developed more sophisticated signals that can meet the needs of evolving user expectations and behaviours.

Here are some ways to start adapting:​

Unify Organic, Paid And AI Search Strategies

Stop treating organic, paid and AI search as separate channel conversations. Visibility is shifting from channel silos to a unified system. AI synthesizes information from multiple sources, so public relations, SEO, paid media and content all feed the same underlying entity signal.

Stop Focusing On Rankings, And Optimize Your Brand Entity

Visibility is shifting from pages to entities, so your brand, products, leaders and locations need consistent signals across the web. AI doesn’t just pick one ranking URL; it pulls and synthesizes information from across sources to fully understand your brand.

Stop Separating AI And GEO; Embed Them

There is no separate strategy for AI search. Answer engine optimization (AEO) and generative engine optimization (GEO) are essentially just SEO applied to an AI surface. Google still rewards helpful, structured and authoritative content, but now puts more emphasis on clarity and extractability.

Start Measuring Causal Outcomes, Not Clicks

AI search and zero-click environments mean users can be influenced without ever visiting your site. Click-through rates and sessions alone don’t show the full picture anymore. Instead, focus on things like brand lift, incremental conversions, geo experiments and assisted conversions.

Ensure You’re Present Throughout The Conversation

Search is becoming a planning and decision-making interface. Users are no longer just asking questions; they are trying to solve entire problems inside search. So you can’t just answer isolated queries with blog content. You need to support decisions by making sure your brand appears in comparison, constraint-based and recommendation-driven queries.

​As Google has adapted to keep users within its platform, you can no longer rely on a single page or ranking. You need to optimize your online footprint so your brand is present throughout complex planning journeys—not just answering one question, but being consistently surfaced across follow-up prompts, comparisons and refinement stages.

This update goes way beyond technical changes; it’s behavioural. Search is moving from a system that helps users find information to one that helps them make decisions. The question is no longer just “How do I rank?” It’s “How do I stay present while decisions are being made?” It’s time we all started taking a lot more notice.​

Feature image credit: Getty

By John Readman

Find John Readman on LinkedIn. Visit John’s websit

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John Readman is the CEO of ASK BOSCO, an AI-powered marketing platform that brings all your marketing and e-commerce data into one place. Read John Readman’s full executive profile here.

Sourced from Forbes

By Daisy Edwards

Life could be a lot easier for anyone with an overflowing inbox because Apple’s Mail app is about to get one of the most requested improvements with iOS 27.

While Apple unveiled plenty of headline-grabbing features at WWDC, one smaller change has caught the attention of long time iPhone users.

The update focuses on fixing a frustrating issue that has plagued the Mail app for years.

And if it works as intended, finding old emails could soon become much less of a headache.

iOS 27 is bringing a major improvement to Apple’s Mail app

Apple’s Mail app tech has long been criticized for its search function, with users often struggling to locate specific emails, attachments, or conversations buried deep in their inboxes.

Now, Apple is preparing to address that problem with iOS 27.

Apparently, the company is introducing a revamped Mail search experience that aims to deliver more relevant and accurate results when users search for messages.

The update is designed to better understand what people are actually looking for and prioritize the most useful emails at the top of the results.

While it might not sound as exciting as Apple’s latest AI tools or visual redesigns, it tackles a real-world problem that affects millions of iPhone owners every day.

For users who rely on Mail for work, travel bookings, receipts, and personal communication, a more effective search function could save a significant amount of time and stop that panic when you’re at a ticket turnstile.

The tech giant is stopping the turnstile panic

The Mail app improvement arrives as part of a wider collection of updates coming to iPhones with iOS 27.

Apple showcased numerous new features during WWDC, including enhancements to Siri, system-wide intelligence features, and updates across several core apps.

But sometimes the most appreciated upgrades are the ones that simply make existing tools work better.

Anyone who has spent several minutes scrolling through years of emails trying to find a single confirmation message or attachment will likely welcome the change.

If Apple’s new search system delivers on its promise, it could transform one of the most frustrating aspects of using the Mail app.

The software is currently available in beta testing before a wider public release later this year, giving users something practical to look forward to alongside the platform’s bigger headline features.

By Daisy Edwards

Sourced from TECH SB

By Adamya Sharma

Nothing’s Apple challenge is ambitious, confident, and a little hard to watch.

TL;DR
  • Nothing founder Carl Pei has posted a new video directly challenging Apple.
  • Pei says he’ll steal Apple’s customers “one bored iPhone user at a time.”
  • The video continues Pei’s long-running habit of positioning Nothing as the anti-Apple brand.

Nothing founder Carl Pei has posted yet another cheeky video taking aim at Apple, and this one might be his most self-affirming effort yet.

In a video posted to Instagram, Pei looks directly into the camera and declares, “This is a message to Apple. My name is Carl. I make phones in London. I’m gonna steal your customers. One bored iPhone user at a time.”

The message appears to be aimed at users who feel smartphones have become uninspiring and repetitive. Unfortunately, the video comes across as far more dramatic than the message probably needed to be.

This isn’t a new strategy for Nothing and Pei. Ever since founding the company, Pei has positioned it as an alternative to what he sees as an increasingly boring smartphone industry. He has repeatedly argued that Apple has lost its creative edge and no longer delivers the kind of innovation that once inspired him. In previous interviews, he’s criticized Apple’s direction while pitching Nothing as the brand for users who want something different from the phones their parents own.

More recently, Pei has leaned heavily into the idea that Nothing can challenge Apple and Samsung by winning over younger users. He believes Gen Z is the key demographic that could help Nothing break into a market dominated by the two smartphone giants.

The funny thing is that Nothing is actually doing decently well without the theatrics.

Nothing Phone 4a

According to Counterpoint Research, Nothing’s shipments in India jumped 146% year over year in Q2 2025, making it one of the country’s fastest-growing smartphone brands. The company also posted 32% growth in Q4 2025, while its CMF sub-brand was the fastest-growing smartphone sub-brand in India.

But growth percentages only tell part of the story. Despite its impressive momentum, Nothing remains a relatively small player in the global smartphone market, which is dominated by Apple, Samsung, Xiaomi, OPPO, vivo, and others.

That said, Nothing has been making steady moves to grow its business in recent months. The company recently announced plans to significantly expand its retail presence in the US through Best Buy, giving its products far greater visibility in a market where breaking Apple’s and Samsung’s dominance is most difficult.

That’s a more meaningful step toward winning over iPhone users than posting a direct challenge to Apple on Instagram. So yes, Carl Pei and Nothing may very well win over a few bored iPhone users. Whether that’s enough to make Apple lose sleep is another question entirely.

By Adamya Sharma

Managing Editor, Adamya Sharma is a tech journalist with over 15 years of experience, currently leading the News Desk at Android Authority. She covers Android news, shares insights, and helps uncover the stories that matter.

Sourced from Android Authority

By

The free routes that used to bring creatives their next commission are closing one by one. It’s been happening for some time. And now AI is pretty much destroying the web as we know it. Here’s how to keep being found – and, increasingly, recommended – without a marketing budget.

For many happy years, getting found was something any creative freelancer or studio could do on the strength of work alone. A website that ranked for your craft. A post that travelled far and wide and carried your name back to your profile. A share that turned a random person into a client. None of it really cost anything except for a bit of time and effort. And all of it was the pipeline to paid work.

Oh, how things change. Organic search has fallen off a cliff. Social media rewards quantity over quality. And the latest? Conversational, agentic AI is now pulling all the shots.

And with today’s big news that Pinterest is shifting away from traditional search, it’s clear that none of us can out-optimise this on our own. The good news is that the shift rewards a handful of things independent creatives can still build: a direct audience, a distinctive name, and a reputation the new systems can read and recognise as important. Exhausted? Yes, so are we. But here’s where to put your energy.

1. Build an audience you actually own

I’ve been saying it for over a decade – since Meta ruined Facebook for publishers in 2016 – build your own audience. That’s because every follower you have is rented. Platforms like Instagram and Pinterest get to decide who sees your work, and the goalposts can change overnight.

An email list is the one audience you get to control. It’s a list of people who chose you, and you can reach them directly, whenever you want. So start a simple newsletter, even a short monthly one, and make signing up the clearest call to action on your website. (Our guide to creating a newsletter people actually want is a good place to begin.) A few hundred people who want to hear from you is worth more than ten thousand followers a feed decides to throttle, and it’s how plenty of creatives are winning work after quitting social media altogether.

2. Become a “category of one”

Don’t roll your eyes, but AI discovery rewards a “good enough” match to a brief, which flattens everyone into interchangeable options. The defence is to be “uninterchangeable”. So sharpen the one thing you do that nobody else does in quite the same way. That could be a material, a subject, a voice. You want to be known by name rather than retrieved by attribute. The creatives who survive this current massive shift are the ones a client specifically asks for, because a specific name is the one thing an algorithm can’t substitute.

3. Get cited, named and talked about

As someone who worked in PR for two decades, this next tip warms my heart. Because I know public relations is having a golden hour moment. That’s because if you still want to be found, recommendation engines lean on signals they can read: who’s mentioned in other people’s work, who turns up on lists, in interviews, in the press, and in collaborations.

It means that being talked about is more valuable than being optimised. Forget staying in your comfort zone. Say yes to the guest piece, the podcast… even the scary panel on stage that you’ve been avoiding. Pitch yourself for round-ups in your niche. Every place your name appears alongside your craft is a breadcrumb the systems – and the people – can follow back to you.

4. Make your site easy for a machine to understand

If an AI is going to represent you, it has to be able to read you correctly. That means not blocking AI crawlers on your site. And it means spelling out, in plain language, what you do, who you do it for and what makes your work yours. Don’t just have images and a one-word ‘work’ tab. Name your projects, your clients and your disciplines in actual words. Add alt text to every image. You’re not gaming anything here; you’re making sure that when a system describes you, it gets you right rather than second-guessing.

5. Show the process and the person

A generative answer can summarise a style, but it can’t reproduce the human genius behind it. That’s your advantage. In which case, share the process: the sketches, the dead ends, the “why” behind every decision, and the story of a commission. Content about process, along with a real point of view, builds the kind of trust that turns a browsing visitor into a client, and it’s exactly the material an AI can’t copy from pages that already exist.

6. Make referrals easy to give

Word of mouth is, and always will be, the most powerful marketing channel. And it’s still how most independents get their best work. Don’t leave it to chance. Tell happy clients you’d welcome an introduction. Keep a tidy one-line description of what you do that someone can paste into a message without having to think. Stay in touch with people you’ve worked with so you’re the name that comes up when they’re asked, “Do you know anyone good who can…?”

7. Turn up in real rooms

“In real life” is back, baby. Events, meet-ups, talks and communities – they’re all back on the table after those weird post-pandemic years. Like word of mouth, networking is hugely powerful. A conversation at a portfolio night or a face remembered from a meet-up leads to commissions that no number of impressions or page views can match. You don’t need a stage, but turning up consistently where your peers and potential clients gather will eventually deliver results.

Just remember to enjoy yourself and make friends, first and foremost. Don’t go in with the hard sell, as there is nothing more off-putting.

8. Don’t rent your whole presence from one place

Remember the old saying, Don’t put your eggs in one basket? It applies here. If a single platform is your entire shop window, one change to its rules can harm you enormously. Spread your presence across things you own and things you earn – your website and newsletter list, plus a couple of channels and the press and communities you show up in. The aim isn’t to be everywhere all at once; it’s to make sure no one switch, algorithm tweak or new AI layer can take away every route to your door at once.

In summary

None of the above is a quick fix. But don’t panic. The creatives who stay discoverable through this enormous revolution won’t be the ones who chased the algorithm the hardest; they’ll be the ones who built something that’s truly their own… a name worth knowing, a direct line to the people who love your work, and a great reputation that travels on its own accord.

By

Sourced from CREATIVE BOOM

By 

AI speeds up advertising, but without strategy it risks making brands forgettable

For small businesses, AI has made advertising easier to produce but much harder to differentiate.

What should have been a useful shortcut is quickly becoming a creative trap. As more brands rely on the same tools to write copy, shape campaigns and generate ideas, too much of the output is starting to feel interchangeable.

The ads may look polished enough to publish, but polish is not the same as impact, and efficiency is not the same as originality.

That matters because most ads are not competing in a vacuum. They are fighting for attention in crowded feeds, against endless lookalike content, in front of audiences who have become highly skilled at filtering out anything that feels generic.

When brands use AI without a clear point of view, they do not just risk making weaker creative. They risk making work that disappears on contact.

The problem is not AI, it’s the way many businesses are using it.

Patterns & performance

Most generative AI tools are built on patterns. They are good at producing what is probable, what is familiar and what already resembles successful marketing. That can help with speed, but it also creates sameness.

Similar phrasing, similar structure, similar claims, similar tone. After a while, entire categories begin to sound like they were written by the same person for the same audience, regardless of who is actually selling the product.

For brands trying to grow, that is a serious commercial issue.

When advertising starts to blend in, performance usually follows. Ads that feel vague or formulaic tend to attract less curiosity, fewer clicks and weaker engagement. Businesses then spend more trying to force results from creative that never had enough edge in the first place.

The waste is not always obvious at first, which is partly why the problem is spreading. A campaign can still be technically competent while quietly underperforming where it counts.

Over time, that gap compounds. Budgets get allocated based on surface-level performance rather than true effectiveness, and teams double down on what feels safe instead of what actually works.

The result is more output, more spend, and very little movement in terms of brand recognition or recall.

For SMEs, the stakes are even higher.

Solving the wrong problems

Big brands can sometimes get away with forgettable advertising because they already have reach, recognition and budget on their side. Smaller businesses do not. They depend far more heavily on clarity, distinctiveness and trust.

Their marketing has to do more with less, which means the brand itself needs to be sharper, not flatter. If AI strips out the character, specificity or conviction that made a business memorable in the first place, it starts eroding one of the few real advantages that smaller brands have.

That is the irony in all this. Many businesses are using AI to save time and strengthen output, only to end up producing ads that weaken the very thing they are trying to build.

Solving the wrong problem

The issue usually starts long before anything goes live. Too many marketers are asking AI to solve the wrong problem. They are using it to generate finished ads before they have properly defined what the brand wants to say, who it needs to resonate with, or why anyone should care. When the strategic thinking is thin, AI does not improve it. It simply accelerates it.

That is why so much AI-assisted advertising feels hollow. It fills space nicely, but it rarely lands with force. It often says the sort of thing a brand should say, in the sort of tone a marketer expects, without ever arriving at something sharp enough to be remembered.

There is also a growing risk around brand dilution. When multiple teams, agencies or founders rely on similar prompts and tools, the outputs begin to converge. Without strong internal direction, even well-intentioned campaigns can start to blur together, weakening long-term brand equity in ways that are difficult to reverse.

Taking a clearer position

The brands getting this right are taking a more disciplined approach. They are not handing the whole process over to a tool and hoping for the best. They are using AI to support execution while keeping the core thinking firmly human. That means using it to test routes, speed up production and explore variations, but not to define the message.

They are also investing more time upfront. Clear positioning, sharper audience insight and stronger creative direction are doing the heavy lifting, with AI acting as an amplifier rather than a substitute. That shift alone is often the difference between content that performs and content that fades.

Good advertising has always depended on knowing what makes a business distinct and then expressing it clearly. That has not changed. If anything, it matters more now. In a market flooded with passable content, originality has become more valuable, not less.

AI can help marketers move faster, but speed only matters if you are moving in the right direction.

We’ve listed the best email marketing platforms.

Feature image credit: Getty Images

By 

SEO & Digital PR search specialist at Cupid PR.

Sourced from techradar.pro

By

For years, local businesses have relied on visibility metrics to measure marketing performance. Rankings, reviews, profile views, and website traffic became the standard indicators of success because they appeared to correlate with customer acquisition.

As a result, many business owners came to believe that higher rankings automatically meant more business.

After reviewing businesses across roofing, plumbing, HVAC, electrical services, and legal services, I noticed a consistent pattern. Many had strong rankings, growing reviews, and healthy Google Business Profiles, yet phone calls were not increasing at the same pace. Some were receiving fewer inquiries than they had several years earlier despite improved visibility.

But the more businesses I looked at, the less those explanations made sense. Instead, I started to wonder whether the real problem was that businesses were still measuring success using a model that no longer reflects how Google works today.

The Original Customer Acquisition Model

For years, the formula was simple. Rank higher on Google, get seen by more people, and generate more leads. In many cases, that’s exactly what happened.

Businesses focused on local SEO because improvements in visibility often translated directly into more calls and customer inquiries.

Back then, most customers followed a similar path.

Search → Map Pack → Business Profile → Website → Phone Call

Since businesses could see this journey happening, higher rankings usually translated into more website visits, more calls, and more leads. That’s why most marketing reports focus heavily on visibility metrics.

The challenge is that the way people use Google today is very different from the way they used it when most local SEO reporting models were developed.

Google’s Incentives Have Changed

Local businesses want one thing: more customers. Whether that means more calls, more appointments, or more revenue, the goal is the same. Google’s goal, however, is not exactly the same as the business owner’s.

Google’s goal is simple: help users complete tasks as quickly as possible. The fewer clicks required, the better the experience. That’s why Google increasingly provides enough information directly in search results for users to make decisions immediately.

Over time, Google has made it easier for users to complete tasks without leaving its ecosystem. We’ve already seen this happen with hotels, flights, restaurant reservations, and shopping. More decisions are happening directly inside Google’s ecosystem, and local services appear to be following the same trend.

The Rise of Action-First Search Results

Today, someone searching for a plumber may never visit a company’s website at all. They can see reviews, business hours, service details, credentials, and a call button directly on Google. In many markets, Local Service Ads appear at the very top of the page and provide enough information for a customer to choose a business and make a call immediately.

As a result, the customer journey often looks much simpler:

Search → Local Service Ad → Phone Call

The website is no longer a required step in the process. Yet many businesses still measure success using models that were built when websites played a central role in generating leads. That’s why some companies struggle to understand where their customers are actually coming from.

The Attribution Problem

Here’s a question I often ask business owners:

“Do you know exactly where your phone calls come from?”

Most know how many calls they received.

Very few know where those calls originated.

That’s because many reporting systems combine everything together. Calls from Google Business Profiles, Local Service Ads, websites, and other sources often end up in the same report.

The result is that businesses see the final number but miss the story behind it.

For example, consider a hypothetical plumbing company. Total call volume increases from 460 to 500 over three years. On paper, that looks like growth.

Mayur S's image-68b9c

However, the source of those calls changed dramatically. Google Business Profile calls fell by more than 40%, while Local Service Ads became the dominant source of demand.**

The lesson isn’t that calls increased. It’s that customer behaviour has changed. Without source-level attribution, the business would likely continue focusing on rankings and visibility metrics without realizing how customers were actually finding them.

Google Quietly Created Two Customer Acquisition Systems

I think one mistake many businesses make is assuming they’re competing in a single Google system.

In reality, there seem to be two different systems at work.

The first is traditional local SEO. This is where factors like proximity, relevance, reviews, business profile optimization, and website content help determine visibility in local search results.

The second is Local Service Ads.

LSAs appear to care about a different set of signals, such as how quickly you respond to leads, whether calls are answered, your availability, booking activity, review growth, and the quality of customer interactions.

A business can rank extremely well in local search but struggle to generate leads from LSAs. At the same time, another business with average local rankings can generate a large number of calls through Local Service Ads.

If you treat both systems the same way, you may end up optimizing for the wrong things.

Visibility No Longer Guarantees Demand

To be clear, I’m not saying rankings don’t matter.

Visibility is still important.

If people can’t find your business, they can’t contact you.

But rankings only tell part of the story.

Many businesses assume that better rankings automatically lead to better results. That’s not always true anymore. A company can dominate local search results and still struggle to generate calls if it’s focused on the wrong channel.

The businesses seeing the best results today are usually the ones paying attention to customer behaviour, not just rankings.

The larger issue is that many businesses are still measuring local search using assumptions that were formed when websites sat at the centre of the customer journey. As Google reduces the distance between discovery and action, those assumptions become less reliable.

The Future of Local Search Measurement

As Google makes it easier for people to take action directly from search results, knowing where your leads come from will become more important than ever.

Businesses will need to separate calls by source to understand what’s actually driving growth.

This doesn’t mean local SEO is going away. Strong rankings, positive reviews, and an optimized Google Business Profile will continue to matter.

What’s changing is how those factors turn into customers.

The businesses that succeed over the next few years won’t just be the ones with the best rankings. They’ll be the ones who understand where their customers are coming from and which channels are generating real revenue.

By

Sourced from Hackernoon

Sourced from B&T

In this op-ed, Phil Ohren, CEO & co-founder of Intender highlights the move of GPT ads going from being an industry rumour to a market reality. He believes if your first question is ‘What keywords should we target?’, you’re asking the wrong question.

ChatGPT has officially entered the media mix.

OpenAI’s Ads Manager Beta now includes campaign creation, billing, access management and reporting, with advertisers able to run campaigns in Australia, New Zealand, Canada and the US. Ads are also now appearing for ChatGPT Free and Go users in Australia and New Zealand.

The predictable response will be to ask the same question the industry asked when search advertising emerged: What keywords should we target?

But that’s the wrong question.

GPT Ads are not built around keywords. They are built around conversations. People use AI to ask for help, explore problems and seek advice before they know exactly what product, service or category they need.

The brands that win will not be the ones that target what people say. They’ll be the ones that understand what people mean.

People do not talk to AI in keywords

A family looking for a seven-seat SUV may never mention SUVs.

Instead, they might say: “Our third child is on the way and suddenly nothing fits in the car.”

Or: “Every weekend we need two cars because we can’t fit the kids, the dog and all the gear.”

Same intent. Different language.

For two decades, digital advertising has been built around signals like search terms, audience segments and browsing behaviour. Those signals still matter, but AI introduces something more powerful: context.

People don’t interact with AI using keywords. They describe circumstances, frustrations and goals.

The commercial opportunity often emerges before the obvious keyword appears.

A bank should think beyond “home loan” to the couple wondering whether rent is rising faster than their ability to save for a deposit.

An insurance brand should think beyond “life insurance” to the new parent suddenly feeling responsible for someone else’s future.

A B2B software company should think beyond “CRM platform” to the sales leader realising their pipeline forecast is fiction.

In each case, the signal exists before the search.

The new media unit is the moment

If GPT Ads scale, the winners will be the brands that understand real-world context better than their competitors.

A customer moment might be a homeowner comparing renovation options before requesting quotes, a marketing leader trying to understand why performance has stalled, a consumer deciding which financial provider they can trust.

These moments matter because they sit before the transaction. They are where people define the problem, compare options and decide who feels credible.

That’s why GPT Ads should not be treated as a small experimental item on the media plan, but prompt marketers to ask a bigger question:

Where are our customers asking for help before they make a decision?

What marketers should do next

First, stop briefing GPT Ads like search campaigns. Start with customer context, not keywords.

Ask:

  • What situation makes our product or service relevant?
  • What would a customer ask before they need us?
  • How can our brand be genuinely useful in that moment?

Second, bring teams together earlier.

Paid media, SEO, content, brand and conversion teams need a shared understanding of the customer. In an AI environment, people don’t care which department
owns the answer – they just want help.

Third, measure quality, not just volume. Don’t just ask whether GPT Ads drive clicks. Ask whether they drive more informed prospects, stronger engagement and higher-quality demand.

Context will expose weak strategy

This is where some brands will struggle. Many organisations still operate with different teams working from different assumptions about the customer. In a conversational environment, those disconnects become obvious.

The ad, content, landing page and follow-up experience all need to reflect the same customer reality.

Generic copy won’t cut it. Neither will a keyword list dressed up as an AI strategy.

The brands that succeed will understand the situation behind the query – what customers are trying to solve, what concerns they have and what information they need next.

The future belongs to brands that understand meaning

The first wave of GPT Ads will probably resemble the early days of search: broad targeting, recycled copy and campaigns built around obvious keywords.

That won’t last. GPT Ads are not just a new channel. They’re a signal of where advertising is heading: towards context, intent and usefulness.

By all means, test GPT Ads. But test them properly.

Start with the customer moment. Build around the situation. Connect the message, content and
landing experience.

Because the future of advertising won’t belong to the brands that simply target what people say.

It will belong to the brands that understand what people mean.

Sourced from B&T

By Casey Newton

And yes, AI is a factor. Replika and Wabi founder Eugenia Kuyda on how advances in coding changed her hiring calculus

This is an interview about AI. My fiancé works at Anthropic. See my full ethics disclosure here.

Last week in our series on AI and jobs, Brookings’ Molly Kinder warned us to prepare for a “messy middle”: a long, “politically explosive” stretch in which AI job losses are concentrated among some of the best-paid workers in the economy. This week, for the first-ever Platformer live show, I wanted to talk to someone who believes in that vision: a founder building the tools that might bring it about, and who turned out to be unusually candid about what that might cost us.

I’ve known Eugenia Kuyda for more than a decade. In 2015, after her best friend Roman Mazurenko died in a car accident, she gathered the text messages he had sent to friends and family and built a chatbot that let them speak with him again — a story I covered at the time for The Verge, nearly a decade before ChatGPT made chatbots ubiquitous. That project was the seed for Replika, the AI companion app that now claims more than 40 million users. Kuyda’s latest startup, Wabi, takes AI in a different direction — away from personal entertainment and into the world of work. The app, which is now available for iOS, lets you vibe-code apps on your phone using text prompts. Over the next year, Kuyda hopes to shift more of the team’s work away from standard enterprise software toward apps built on her own platform.

Kuyda argues that we are living in “the Microsoft DOS era of AI interfaces,” and that we’re desperately in need of a Windows equivalent: an easy-to-use graphical user interface that lets the average person take full advantage of agents and personalized software. When that happens, she predicts, the long tail of subscription-based apps — the calorie counters, meditation apps, and fitness trackers of the world — will start to disappear, replaced by software that we make and share ourselves.

But what struck me most during our conversation was her answer to the question at the heart of our podcast miniseries. When we began, I expected that more tech executives would tell me they expect AI to cause job loss. Instead, it’s been the opposite — most of them have said that advances in AI will only increase demand for software engineers and other knowledge workers.

Kuyda is our first guest to say plainly that she believes that is a fantasy. The fear of job loss is “super justified,” she told me; in her view, AI has made hiring junior employees “extremely expensive and completely unsustainable for a startup,” because every hire now competes with the leverage of what she calls a “1,000x engineer.” “I think the crazy protests around jobs and AI are going to start happening,” she said. “We live in this very optimistic city, where it’s all about future, future, future — but as soon as you get out of here, it’s pretty scary.”

She’s building Wabi accordingly: the company is modelled on a soccer team, she told me, with 10 to 15 superstar “players on the pitch” who get sizable equity and public-facing roles, supported by contractors in the back office. She doesn’t think you need more than that to build a billion-dollar company anymore.

Whether that turns out to be true depends in part on Kuyda’s own bet on Wabi. Can vibe-coded apps truly compete with enterprise software in the way that she hopes? Or will most companies continue to prefer the stability and support that comes with traditional software as a service?

We should get more data on that point soon: Kuyda told me on the show that after a year in beta, Wabi will launch publicly before the end of the month.

Highlights of our conversation are below, edited for clarity and length. Listen to the entire conversation wherever you get your podcasts — just search for Platformer — or watch it on YouTube at youtube.com/caseynewton.

And let us know what you think — we’re new to podcast production, and welcome your feedback at [email protected].


Casey Newton: So it’s 2015. You are almost a decade away from ChatGPT. What were you seeing that made you think, “I can actually use the tools that are here to make a kind of prototypical chatbot, and that will be an interesting thing to explore”?

Eugenia Kuyda: We actually started a company that was building chatbot tech in 2013. What kick-started that was a friend of mine who used to work at Google DeepMind showed me this technology called word2vec, which was the original tech to basically transform language into math — to let computers understand words, in a way. ImageNet also dropped, and I was like, whoa — soon that will somehow come together, and we’ll have these new neural networks that will understand language. I used to be a journalist before that, and we had this gigantic sign in neon: “The limits of my language are the limits of my world.”

Newton: Which is a Wittgenstein quote, if I remember right.

Kuyda:I felt like if we figured out how to build language models, that would probably be the closest to understanding the world as well.

So we started building that, way before any of the first language models. Then in 2015, Google published a paper where they talked about the first deep learning model applied to dialogue generation, and we decided to hire every possible NLP researcher we could find to focus on these language models. And then, of course, after Roman passed away, we built that AI for him. We were struggling to find a consumer application, and that was it. We were like: maybe we can’t yet build a chatbot that talks eloquently with people and has meaningful conversations, but maybe we can build one that can listen, and that would probably be enough for many people out there.

Newton: How confident were you when you were doing that?

Kuyda: We thought it would work at some point. The models were so crappy in 2016, when we started Replika, that they would just produce non sequiturs. These were sequence-to-sequence models, and of course there were no models off the shelf or through APIs, so we had to build our own — this was right before people moved on to transformers. So it was very hard to say, “Okay, this will become what it is today.” We just felt that it would happen; we didn’t know when. For us it was more like: okay, maybe the tech is lagging, but it’s less about tech capabilities — it’s going to be more about human vulnerabilities. There were so many people who wanted so much to have some connection — someone to listen, someone to hear them out, to accept them, to understand them — that maybe in the beginning just those people would react positively to it, and as the tech got better, we could increase the range of people it would resonate with.

Casey: I think there’s something really poignant about the fact that even though the technology, by today’s standards, was maybe not that good, the human desire and need for support and connection was so powerful that people looked right past it. But at the same time, I wouldn’t downplay the technology either, because when I was talking with Roman’s friends and family, the part of the story that will still make me cry when I tell other people about it is how much people learned about their friend and family member after he passed away, and how their relationship with him changed after he passed away, because of the conversations they were having in this app. That was honestly the moment when I started to take AI more seriously, because I thought: if people can feel that deeply even in this very primitive version of the thing that we have today, there just has to be something there.

Kuyda: I think so. And looking at my previous relationships — oftentimes we do have relationships with people where maybe they don’t respond that much, or it’s more about our fantasies. How much do we put in? A good example is talking to God. So many people talk to God, and maybe he doesn’t really respond.

Newton: He’s sort of famous for leaving you on read.

Eugenia: I also had a lot of experience going on dates where you just listen, and maybe ask, “Oh, tell me more,” and then the guy would be like, “Oh, that was the best conversation I’ve ever had.” And you space out half the time when they’re talking — you’re thinking about all the groceries you need to buy. So I’m like, if this is the level of understanding that’s required for the most amazing conversation, we can probably build that.

Casey: Once you realized how low the bar was, you thought, “There’s a unicorn here.” 

I want to zoom out and ask you a question about your two companies, because on the surface they look quite different, right? One is about an AI that you develop relationships with; the other is a tool for making apps. In your mind, are they completely different, or do you see a through line there that you’re chasing?

Eugenia: They’re definitely different things, but for me the idea was always: how can we make a person’s life better, or help them unlock their potential? With Replika it’s easy — it was always about building an AI to help people flourish and feel better in the long term. We had some big studies published around that with Stanford and Harvard, some of them published in Nature, where we proved we were doing that.

With Wabi, the idea is: most of our time today is spent on our phones, using software that’s not built by us — built, in David Foster Wallace’s words, by people that don’t love us, that want us to just scroll or click on things. We shape our buildings, and then they shape us. It’s the same with software — we shape our software, and then it shapes us. Only we don’t shape it; someone else does.

So in this new era, where anyone can really build something in a matter of a few seconds, why not let people take a little bit more agency? Maybe not build every app they use, but at least have software be more decoupled from this model where every app needs to be a business. Wabi is a platform where people can make apps, but can also discover, remix, and use them with their friends and their families. It’s a social platform where you can quickly spin up any app, or find any app, and start using it with whoever you want. In my case, that means creating software that really fits my life — whether it’s helping me learn more about the art movements I’m into, or the language I forgot, or teaching my kids something, or finding cool events to take my kids to, or even just a better weightlifting tracker.

Casey: What is a feature or a design element of something you’ve built that made you feel like, “This is truly, personally for me — I would not expect to encounter this kind of app anywhere else”?

Eugenia: When you take away the idea that you have to make an app, put it on the App Store, distribute it, and make it for some audience, it can just be n-of-one. For me, I have an app that teaches me a daily philosophy concept.

But that’s the simple way of putting it. The more interesting reason I really decided to work on this is that I do believe we’re in the Microsoft DOS era of AI interfaces, where everything’s a chatbot. I’ve worked for 10 years on a chatbot, and I do believe there will be a GUI moment — a Windows, macOS moment — that will come to AI. Mostly because even though the model capabilities became so much better over the years, most people — normies, I guess, us included — still use ChatGPT and Claude mostly the same way they used them in 2022 and 2023: ask questions, search, do homework. That’s it. It’s not all these crazy agents — they’re not spinning up cron jobs or figuring out Claude Cowork, even. And really, that’s because through text, through a chatbot, it’s very hard to discover anything.

Casey: It feels like talking to the Alexa in your house, right? It can set a timer, and it can check the weather, and it can do 1,000 things, and you don’t know what those things are — so you just use it to check the weather and set a timer.

Eugenia: Exactly. But even if you set a timer, you need to see that timer. Chat is great as one of the interfaces; it cannot be the primary one. People love to tap, tap, tap, click, click, click, scroll, scroll, scroll. And that’s the only way to really make things discoverable and multiplayer.

Casey: Talk about the demand that you’ve seen for Wabi so far. Sometimes I feel like a freak, because I like to use software — I love productivity tools. Most people don’t feel that way. So talk to me about these people who are out there saying, “I need to build a philosophy app that only I will understand.”

Eugenia: It’s really just about making this tool simpler for people to use. We’re still in private beta — we’re going public in the next two weeks, so I’m super excited about that.

But I think we grow up being more creators, and at some point we become consumers. Kids use Roblox — kids make these games, kids hang out in these environments they make for themselves. And then at some point we just turn into these passive consumers: scroll, scroll, scroll, and subscribe, subscribe, subscribe. I think once you show people that it’s actually very easy to make something — or not even make something; maybe we just suggest some apps for you that someone else made, and it’s very easy to remix them. The agent says, “Hey, I see you added this app. I know all your apps are black and white — let’s change this one into black and white, too.” So it’s proactively helping you use all this software.

But I do believe software needs to change. If we’re just using AI to write the same old apps from the past, that’s pretty boring. What needs to happen is new agentic apps, where all apps have agency and are more alive. What I mean by that is that you can change them, they can suggest how you can change them, they can grow with you, they can evolve with you — and they can also talk to you. Right now, apps can only send you push notifications. With Wabi, all apps have a chat, so the push notification becomes “Time to work out” — but you can also say “Stop messaging me” as a response. You can change everything right there in the chat. Chat becomes the way for an app to talk to you, but also the way for you to change it.

Casey: Tell me about an example of something somebody built that made you say, “This is the promise of what I’m doing, realized” — the equivalent of that early moment with chatbots, when you saw the pieces coming together and how badly people wanted it, even though the technology was primitive.

Eugenia: A couple of things from my personal experience. I built this weightlifting tracker — I’d been tracking my gym workouts in Notes, which I found out a lot of people do. We make all of our apps agentic by default, and it started talking to me after my workouts, giving me some pointers on how to improve them. So I said, “Now also talk to me during workouts, as I’m logging — tell me what I can do as the next exercise.” And all of a sudden this app just felt so much more alive, and so much better than even a really fancy-looking app off the App Store, because it was smart. And not only that — it was also connected to my Apple Health, it was connected to my other apps, so all of a sudden it had a lot more knowledge about me. That was really a magical moment.

Another one: we have a few apps for our team. Our design engineer, Alex, makes lunches for us at the office every day, so we made an app where he puts up the menu for the week, and we can all vote and comment and say stuff — “Oh my god, these poke bowls were so nice.” It was just a little bit magical, because it created another way for us to bond more as a team.

To me, the really important thing is that today we have AI that lives separately in a chatbot interface, and then we have apps on our phones, and everyone’s debating: okay, MCPs or APIs — how are they going to communicate? But really, we should not have that distinction. Every agent or agent skill should just be an app, because a normal, regular person will never understand what an agent skill is, and no one’s going to go read Markdown files on GitHub. Instead, they can totally understand: oh, it’s just an app that looks at your inbox, and whenever there’s a new email, checks whether it’s an important one and sends you a quick summary. That is super easy to understand. If I tell you it’s an email agent that triages your inbox — “here’s the Markdown file, go figure it out” — that’s hard to understand.

Casey: In a world where everyone can make their own software, what does it do to the value of software that other people are selling — SaaS companies, for example?

Eugenia: The biggest problem with vibe coding is that no one’s going to use other people’s apps if those indie developers own the backend and the data. There’s just no way — even for consumers, let alone for businesses. If I build an AI therapy app on Replit and say, “Casey, use my fantastic AI therapy app, here you go,” you’re like: okay, well, Eugenia can read all my logs. [And so you won’t use it.]

And I don’t even need to be a bad actor. Maybe I just forget to maintain it, and then all your therapy sessions go away. Or I’m bad with security, and all of that is exposed to everyone. So the only way for people to share their personal software is to build it on one platform, where all the backend stays in one place, and the platform is responsible for security, the social graph, privacy, maintenance — the apps will never go away. And for B2B, it’s kind of the same premise.

Casey: So what is the sweet spot? If you project a couple of years into the future, what is the mix on my phone of apps that other people made and apps that I made bespoke for myself?

Eugenia: I think the only big, big apps that will stay are the ones that either have network effects — the big social networks, of course — or that have basically an offline business behind them, like Instacart or Uber. You’re not using those for the software, obviously. But everything that’s just software, I think, will go — especially all the subscription apps, the long tail of the App Store. That is going away. There’s just no need for any of it — it’s already barely working. If you really think about subscription apps — if you take out dating apps, social networks, and games, just the pure software — there’s only Duolingo that actually ended up going public. Nothing on the App Store that’s purely software really became a huge, huge business.

Casey: Would you be willing to name a name, or maybe a category, that you just think is actually in a lot of trouble here?

Eugenia: Subscription apps with low retention. Fitness apps, calorie trackers, sports apps, meditation apps — pretty much every app from that lifestyle and health and fitness category. They’re not providing a lot of value. If they have low retention, that means they’re just selling stuff during onboarding — that’s the name of the game for most of these apps — and then people just leave and never come back. Instead of that, I think people will want tools that are a lot more agentic, smarter, and tailored to them, and that they can use with their friends immediately.

Casey: So I used Wabi today — I made a podcast question evaluator. And I’ll give you a bit of gentle product feedback. The app looked very beautiful, but the keyboard was floating over the UI element to submit the question. I said, “Hey, the element is covered,” and it said, “Okay, I’m going to fix that” — and then it didn’t really fix it. To me this speaks to the challenge of DIY software. What has been your experience as you’re trying to bring people along? Do people have the patience to say, “I’m going to stick with this and figure it out,” or do they hit that limit and think, “I’m just going to ask ChatGPT”?

Eugenia: That’s a great question. When we started a year ago, on our evals we had 10 to 15 percent quality, which was: pretty much nothing’s working. So we had to build a lot around it. By November, it went to 75 percent, and now it’s probably at 80-something. And with our public launch we’re actually moving away from React Native to web views, and there we’re seeing closer to 90 percent. So I think that’s just going to be solved — it’s just a matter of time. We’ve seen the cost go down dramatically, the speed improve dramatically, the evals go up dramatically. Compared to Replika — where, in 2016, to think we would have meaningful conversations with computers was really crazy — to think that developing mini apps on the go will be solved in the next year? It’s a safe bet.

And what we figured out is that people forgive when it’s theirs. My weightlifting tracker is not the most perfect one, but it’s mine. I came up with everything. I’m very proud of it. It’s like pruning your own garden — we’re so proud of our kids.

Casey: That’s very real. When I’ve used other coding tools to make little tools that I use at Platformer, you do have a sense of pride, even though all you did was type in the box.

One word that gets used a lot to talk about what you’re doing is “democratizing,” right? You’re taking something that used to be the province of an elite, and you’re putting the tools into lots of people’s hands. There are many questions right now about the near-term future of software engineering, given that tools like yours exist. You are somebody who employs software engineers. How are you thinking about that question?

Eugenia: I guess there are two sides of it. First is the beauty of the idea that everyone can build — because up until now, there were maybe 6 million Android developers and 4 million iOS developers in the world, and billions of people using these apps. That’s a real mismatch. Instead of that, now everyone can be that person. And I do think there’s something beautiful in how it’s a little easier to create software than to make content — because one could argue, well, you can make great YouTube videos or Instagram stories. But there, if you look better, if you’re richer, it’s easier for you to do these things. With an app, it’s truly the quality of your idea. Anyone can create anything, and I like that a lot.

But the second part of the story is the questions about jobs. Compared to Replika, one of the reasons I wanted to start a new company was to work again with a team of 10 to 15 incredible people, instead of 100-plus people. Because now it’s just crazy how expensive it is to hire another person if you get it wrong.

Ten years ago there was this article about “below the API” and “above the API” …

Casey: Tell me about it.

Eugenia: When Uber and the on-demand economy were really happening, the idea was that you should stay above the API. Below the API means you’re working a job where the API tells you what to do — you’re an Uber driver, and an algorithm tells you what to do. And then there are people above the API — the software developers at Uber HQ who are developing the algorithm that will tell the driver what to do. So the whole idea was: stay above the API. And now it’s: stay above the AI.

But before, you could hire a 10x engineer — incredible — but you could also hire a 1x engineer,. and okay, the difference is 10x, whatever. Now, either you hire a person who is incredible at coming up with stuff and spinning up all the agents and doing the work — you’re hiring a 1,000x person — or you hire just some person who’s going to take up the time of the 1,000x person, and it’s really expensive. So hiring a not-so-great person, or a junior person, becomes extremely expensive — and completely unsustainable for a startup. And that, I think, is really hard.

That’s really bad news, frankly. I don’t have a solution. I think tech probably needs to create a better narrative for how this is going to go. I think the crazy protests around jobs and AI are going to start happening. We live in this very optimistic city, where it’s all about future, future, future — but as soon as you get out of here, it’s pretty scary. People are really struggling to find jobs, and I think this can only get worse.

Casey: How justified do you think that fear is? Do you think that two years from now there will be more software engineers, as we know them today, or fewer?

Eugenia: I think it’s a super justified fear. And I don’t believe in this “oh, it’s just another technology, and we’ll have even more jobs” line. People say, “Radiologists still exist!” I’m like, yeah, but I’m not hiring people anymore for these junior jobs.

Casey: First of all, thank you for saying what you just said. When I’ve talked to other folks in this series, there’s been a lot of reluctance to say, “I think there are going to be fewer software engineers.” Basically to a person, everybody has said: I think there’s going to be more — or maybe we won’t call them software engineers, but we’ll have more “builders.” It sounds like you started this company assuming maybe it will never be the size of your previous company, because you’re just not going to need as many people.

Eugenia: Yeah, I really believe that.

I think two things need to change. We’re still building the software of the past using the tools of today and the future. So we need to think: what’s the software of the future? How can apps change? We don’t need the same old apps and the same old distribution platforms operating this way when you can spin up an app in seconds.

And then the second question is: we should really think about a new type of company building. It’s almost like everything changed. For example, Figma designers — that is definitely going away. It’s just completely crazy to design everything, mock everything first, and then go develop it, and then test it and iterate. Of course everything should just be built at the same time.

I do think that right now, if you’re building a startup — specifically an application-layer startup like ours — you probably need 10 to 15 people, but absolutely insane people. And in order to attract them, because so many big companies are trying to get them, you need to change what you’re offering. You’re not going to attract them with 0.1 percent of equity and whatever the startup salary is. So we’re trying to do it differently.

I’m a big soccer fan, so I’m like: okay, let’s try to do a soccer team, where there are players on the pitch and there’s the back office. What are the most important roles for us? Let’s make them players on the pitch. They’re the team. Let’s give them the fame. Let’s give them a lot more ownership than employee number 15 would usually get — all 10 to 15 will get very meaningful, sizable equity grants. It’s a relatively flat hierarchy, but they need to be absolute superstars. And because you’re able to give a little more — pay them a little more, give them fame and ownership in a way that not a lot of other startups can — you create this incredible team on the pitch.

And everyone who is just doing one thing — maybe we need someone to deal with accounting, or legal, or motion design — we hire them as contractors, even if they’re full time. We want the top people there too, but that’s part of the agreement: you guys are coming in to fill a role, and the founding team is the founding team. And the people who put on a jersey with the name of the company — we want them to be active on socials, we want them to put their names out there.

Casey: And to cook lunch.

Eugenia: Cook lunch, yeah — everything. But that allows you to hire really top-tier people, not just as a first or second employee, but even as employee number 15. And I don’t think you need more than 10 to 15 people to build a billion-dollar company.

Casey: So in this moment, it’s possible to build a billion-dollar company, and you don’t need more than 10 or 15 people.

Eugenia: Well, some people are trying to do it with one.

Casey: I imagine some folks sitting here are thinking: Eugenia, I would love for someone like you to consider me insane, and a superstar, and worthy of putting on the jersey. What does that mean in practice? Has the skill set changed? What do people actually need to be able to do in a world where maybe there are only ever 10 or 15 seats at this company?

Eugenia: It really depends, because we have designers, product people, generalists, engineers. When it comes to engineers, it’s either really incredible generalists or people who are super good at that one particular thing. For example, Swift — it’s very hard to find a fantastic Swift iOS engineer, and we went through, I think, 120 people recruiting one, for our second-highest person. Because the question is always: will GPT-6 replace the person I’m hiring? And if the answer is maybe yes, then it’s an extremely expensive hire for us — it’s better maybe not to do it, because we’ll spend more time coaching and rewriting. But for everyone on the team, I think it’s agency, product intuition, design taste — whatever your specialization — and not being an asshole. Three very important qualities.

Casey: I think I understand what you mean by every one of those, but agency could mean a lot of things. What does a high-agency person look like at your company? What are they doing?

Eugenia: Well, Alex is one.

Casey: I think we can all agree Alex is extremely high-agency.

Eugenia: But frankly, I really think management at that stage is almost counterproductive, so people need to figure out what they do. We also build a lot of agents internally that are actually managing our company. But it’s people who can decide what needs to be done, go get it done, and push it to production. That is what’s needed. Ideally, you need a few generalists who can do it all the way, and some specialized people who are very good at backend, very good at frontend, polishing the stuff that they’re building. But you really just need people who know: okay, this needs to be done — quickly agree on it, and just go get shit done. If someone needs to go somewhere and agree, and then mock something up, and then develop it — you’ve already lost, because everything’s moving so quickly. There’s no time for that.

Casey: So being able to initiate a project and get it done without much help along the way — this is a core skill that you are hiring for.

Eugenia: Yeah. Get shit done. Also known as agency.

Casey: Last question. You’ve talked a little bit about your concerns about these new times that we’re moving into. Is there anything out there that is making you optimistic about AI and jobs in the near-term future?

Eugenia: The idea that we can all be creators, and can channel our creativity a lot more — can build stuff that before was constrained by developers or designers. I think that’s cool. We spend so much time on our phones using other people’s apps, doing what other people decided we should be doing. It would be really awesome if we could build stuff that would make our lives better. To me, that really is the way to ultimately connect with other people — use apps with friends, use apps with family, use apps with people you didn’t really know before. To me, that’s the beautiful part of it: all these new opportunities that are going to open up. And I think this is probably the first time where the iPhone is somewhat fragile. Maybe there is a way to build a better operating system that’s more serving us, versus serving companies through the apps that they built.

By Casey Newton

Sourced from Platformer

By Krystal Scanlon

OpenAI is poised to automate one of advertisers’ most laborious tasks: ad creative.

Over the past four months of its ad pilot, OpenAI has required advertisers to upload the creative they want to submit, while the platform supports ad delivery. But now, OpenAI is going one step further in the process, by helping advertisers automate the mass production of creative, according to an updated section of its Ad Tools Term Document.

“OpenAI may make available AI-powered Creative Tools that allow you to generate, modify, transform, optimize, localize, or translate advertising creatives using Ad Materials,” the updated policy said.

That’s where OpenAI’s intention would stop. It has no intention of taking accountability for what the system produces. The policy states that the advertiser is “responsible” for reviewing the creatives and ensuring they are accurate and compliant where necessary.

“OpenAI is not responsible for errors, omissions, outdated information, or inconsistencies in Ad Materials or for Claims or losses arising from Generated Creatives that you approve or use,” the policy stated.

The move is hardly surprising, according to eMarketer’s principal analyst, AI in marketing and commerce, Nate Elliott. As he put it, it makes sense for OpenAI to throw AI at their ad operation.

“They know as well as anyone the power of AI for enterprise workflows; it’d be shocking if they didn’t tap that capacity for something they hope will become a major source of revenue,” he said. “And if they’re trying to make billions selling this type of capability to other companies, then they’d better very well eat their own dog food.”

It would also make it more competitive. Every major platform has spent years automating more of the buying process, which has made creative the last real variable. The logic being that once algorithmic optimization took over media buying, the bottleneck shifted upstream to creative. Platforms had a structural incentive to close that gap. More variants mean more auction signals, more liquidity, and ultimately more revenue.

“Marketers are moving faster than ever, and having proven creative assets ready to deploy lowers the barrier to experimenting with new advertising channels like ChatGPT,” said Brian Quinn, president and general manager of AppsFlyer. “But the real test will be campaign performance. If OpenAI can help brands launch seamlessly, demonstrate measurable results, and shorten the path from testing to scale, advertisers won’t just come back. They’ll commit larger budgets and make ChatGPT a meaningful part of their media mix.”

The creative tools aren’t the only update to OpenAI’s growing ad suite.

The AI platform has added conversion tracking for app installs and app opens, according to screenshots verified by Digiday. Ads for apps is a major category in online marketing, so laying the groundwork to track measurable actions such as installs, opens and purchases, would not only attract app marketers, but also provide OpenAI with another justification for more ad spend. And given how fast things are moving, the company clearly expects more ad dollars to start trickling in, having updated the daily ad budget from $100 to $200.

These latest updates show that OpenAI is moving beyond just selling inventory, toward building the complete infrastructure advertisers expect from mature platforms. Having the ability to produce creative at scale helps to solve the problem of having enough creative to feed the AI systems, while advancing conversion tracking helps to prove that those ads drive outcomes. And ultimately, these additions represent another step toward OpenAI turning its four-month old ad pilot into a fully-fledged ad business.

Feature image credit: Ivy Liu

By Krystal Scanlon

Sourced from DIGIDAY