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Nah it's unsustainable, right now it only works because of the hype. AI doesn't generate nearly enough value to be worth what it's being sold for. And it costs even more to run.

What will ads even do in that context? At the very least you need to get your users to accept that all of their data WILL be used for analytics and sold to 500 different companies. And it might not even be enough to pay for the cloud costs

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Even if ads alone aren't able to offset infrastructure costs, they could still alleviate some of the financial burden. They'll be shown conversationally (examples showcased on website), instead of taking up physical space like banner ads or videos.

Also, you're right, user acceptance is important. After speaking with many users, it seems they're willing to make the tradeoff as long as ads are clearly separate from original LLM outputs, not overly targeted, infrequent, and accompanied by a clear reason for being shown. Also, only high-level contextual information + demographic data are shared. These requirements are definitely achievable.

Do you see a future where conversational ads can exist within AI-powered apps?

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