šŸ“¢ Ads Are Coming To ChatGPT?

PLUS: Elon Musk Takes OpenAI to Courtā€”Again āš–ļø

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Welcome, AI Enthusiasts!

Todayā€™s AI Insights:

  • šŸ“¢ OpenAI weighs plan for ads in ChatGPT to bolster revenue.

  • āš–ļø Elon Musk takes OpenAI to courtā€”again

  • šŸ“ø Transform your photos with Pixelcut AI.

  • šŸ”§ AI tool of the day

  • šŸ“° Latest AI and tech news

  • šŸ›  New AI tools

  • šŸ˜‚ AI Meme of the day

Read Time: 3 mintues

šŸ¤ TOGETHER WITH THE RUNDOWN

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AI NEWS

OPENAI

Image Source: Getty Images

OpenAI is considering adding ads to its platform as it seeks new ways to fund its AI operations. This comes as the company faces mounting costs and explores alternative revenue streams beyond subscriptions and API services.

The Details:

  • Revenue Struggles: OpenAI currently earns through ChatGPT Plus subscriptions and API services but faces high operating costs and cash burn. Ads could provide a sustainable revenue source.

  • Ad Model Exploration: CFO Sarah Friar mentioned that OpenAI is assessing how and where ads could fit. Though there are no active plans yet, recent hires from Google and Meta indicate preparations.

  • Leadershipā€™s Reluctance: Even OpenAIā€™s CEO, Sam Altman, seems hesitant about ads. He recently called them a ā€œlast resortā€, showing the companyā€™s internal struggle to balance its financial needs with keeping ChatGPT user-friendly.

OpenAIā€™s move toward ads reflects the tough choices it faces in balancing innovation, accessibility, and profitability. Ads could help keep ChatGPT affordable or even free, but not without potential sacrifices to user trust and experience. As the company navigates this path, the stakes are highā€”not just for its business but for how users interact with AI in the future.

ELON VS OPENAI

Image Source: Getty Images

Elon Musk is challenging OpenAIā€™s shift to a for-profit model, filing an injunction to stop the companyā€™s transition and alleging unfair practices that disadvantage competitors like his AI startup, xAI.

The Details:

  • Legal Action: Muskā€™s attorneys filed to block OpenAIā€™s move to a profit-driven structure and claimed it bars investors from funding rival AI companies.

  • From Non-Profit to For-Profit: OpenAI, initially founded as a non-profit, has shifted to a ā€œcappedā€ for-profit model and now seeks public benefit corporation status to attract more investment.

  • Muskā€™s Concerns: Musk believes OpenAI has strayed from its original mission to make AI research open and accessible, a direction he disagreed with when he left in 2018.

  • OpenAIā€™s Response: OpenAI dismisses Muskā€™s actions as competitive posturing, arguing that his lawsuit reflects frustration as his startup, xAI, tries to gain traction in the crowded AI field.

Muskā€™s challenge to OpenAI highlights a larger debate about the balance between innovation, ethics, and profit in AI. As the rivalry heats up, the case could have lasting implications for how AI companies operate and collaborate in this rapidly evolving industry.

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AI & TECH NEWS

Amazon is set to unveil its new AI model, Olympus, at the AWS re:Invent conference this week. Olympus can analyze images and videos, allowing users to locate specific scenes using text prompts, such as identifying a winning basketball shot. This development aims to reduce Amazonā€™s reliance on Anthropicā€™s Claude AI model.

AI chipmaker Tenstorrent has raised $693 million in a Series D round, pushing its valuation to $2.6 billion. Backed by investors like Samsung, Hyundai, and Jeff Bezosā€™ Bezos Expeditions, the Toronto-based company plans to expand its engineering team and build AI training servers. CEO Jim Keller aims to release new AI processors every two years.

Nebius secures $700M from Nvidia, Accel, others.

Nebius, formerly Yandex N.V., has raised $700M from Nvidia, Accel, and Orbis to expand its AI cloud infrastructure in the U.S. The company plans GPU clusters in Kansas City and Paris, alongside a growing Finland data center. With $3B in funding and a $750Mā€“$1B ARR target by 2025, CEO Arkady Volozh says more funding will fuel its ambitious global expansion.

Elon Muskā€™s xAI is reportedly planning to launch a standalone app for its Grok chatbot by December, aiming to compete directly with OpenAIā€™s ChatGPT. Currently accessible only through X with a subscription, Grokā€™s app could help xAI scale and challenge established players like Googleā€™s Gemini and Anthropicā€™s Claude, which already offer free apps.

AI TUTORIAL

AI TUTORIAL

Pixelcut is an AI-powered photo editor that simplifies tasks like background removal, image upscaling, and object erasing, making professional-quality editing accessible to everyone.

Steps to follow:

  1. Go to Pixelcutā€™s website and sign up for a free account

  2. Click on ā€œOpen Pixelcutā€ and upload the photo you want to edit.

  3. Use the ā€œBackground Removerā€ tool to automatically eliminate the background from your image

  4. Apply features like ā€œMagic Eraserā€ to remove unwanted objects and ā€œImage Upscalerā€ to improve resolution

  5. Add text, filters, or new backgrounds to tailor the image to your needs

  6. Once satisfied, download the enhanced image in your preferred format.

NEW AI TOOLS

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AI MEME OF THE DAY

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