AI advertising

OpenAI’s cautious rollout of ChatGPT ads, despite initial fanfare, has frustrated advertisers with high commitment thresholds and slow progress. While some companies like Dentsu see potential and praise OpenAI’s responsiveness, others worry about unspent budgets. Despite these challenges, the long-term prospects for AI-driven advertising are significant, with OpenAI projected for substantial revenue growth, though competitors like Anthropic are actively avoiding ads. The evolving landscape sees Google yet to announce Gemini ad plans, setting up a competitive race.

.Linkhome Holdings launched Linkhome AI Ads on Dec 1 2025, an AI‑driven advertising platform for homebuilders, lenders, agents, insurers and related services. It introduced a performance‑based “Pay for Closing” model where agents incur no upfront fees and Linkhome takes a negotiated share of the commission only after a buyer closes, illustrating roughly $4,930 revenue per closed referral (based on a median $410,800 home price). Management expects advertising and performance‑based revenue to grow.

AppLovin’s stock (APP) fell sharply after a Bloomberg report revealed an SEC probe into its data collection for targeted advertising. The investigation, spurred by a whistleblower and short-seller concerns, centers on potential violations of advertising agreements. AppLovin, recently added to the S&P 500, defends its practices, but the news triggered a significant stock decline after a period of substantial growth fueled by its AI-powered AXON engine. Short-sellers have previously criticized AppLovin’s data privacy and ad targeting, alleging violations of app store terms of service.

MingLue Science and Technology launched AdEff, an AI-powered platform for global advertising testing and optimization, at ESOMAR “Renewal Tour 2025” in Singapore. Built on the HyperGraph Multi-Modal Large Language Model (HMLLM), AdEff quickly predicts consumer reactions to ads, offers improvement recommendations, and aims to revolutionize marketing productivity. The platform integrates proprietary data and a mixed-expert model to provide faster, cost-effective, and more relevant content measurements, with trial use globally available starting June 19th. Continuous enhancements, including expanded content types and global expansion, are planned.