Perplexity, an AI search startup, is strategically steering away from advertising, citing concerns that users might distrust chatbots perceived to have upselling agendas. This decision underscores a pivotal moment in the AI sector, as major players seek reliable revenue streams to support substantial investments. While companies like OpenAI are exploring advertising, others such as Anthropic are pledging to keep their platforms ad-free.

An executive from Perplexity, who wished to remain anonymous, explained to the Financial Times that the presence of ads might lead users to question the chatbot’s reliability. “This is why we’re not focusing on ads right now,” they stated. Instead, Perplexity aims to develop offerings that customers are willing to pay for, especially targeting business professionals in finance, law, healthcare, and executive roles.

Another executive mentioned that while a return to advertising isn’t completely off the table, it currently does not align with user expectations and might not be necessary for success. “Our mission is centered on accuracy, providing truthful and correct answers,” they emphasized.

This approach places Perplexity in the camp that opposes ad-based revenue models within the AI industry. Companies like Anthropic share this stance, maintaining ad-free platforms, while firms like OpenAI are testing advertising, having recently introduced ads for free ChatGPT users. The debate has spilled into the public domain, with Anthropic launching Super Bowl commercials critiquing ChatGPT, a move that OpenAI’s CEO Sam Altman described as “dishonest.”