OpenAI is exploring advertising as a potential revenue model, according to a Financial Times report. While CFO Sarah Friar emphasised that there are ‘no active plans to pursue advertising,’ the company recently hired Shivakumar Venkataraman, a former Google ad executive, signalling interest in the possibility. OpenAI currently relies on subscriptions to fund its costly generative AI models, but rising expenses may prompt a shift in strategy.
The idea of ads doesn’t sit comfortably with OpenAI CEO Sam Altman, who described advertising as a “last resort” during a Harvard Business School chat. Altman has expressed unease about combining ads with AI, calling the prospect ‘uniquely unsettling.’ Still, the financial realities of sustaining and expanding AI tools may leave OpenAI with few alternatives.
As OpenAI balances innovation with business pressures, any move toward advertising could reshape how users engage with tools like ChatGPT. For now, the debate underscores the tension between maintaining accessibility and meeting operational demands.
Five Canadian news companies have launched a lawsuit against OpenAI, claiming its AI systems violate copyright laws. Torstar, Postmedia, The Globe and Mail, The Canadian Press, and CBC/Radio-Canada allege the company uses their journalism without permission or compensation. The legal filing, made in Ontario’s superior court, seeks damages and a permanent ban on OpenAI using their materials unlawfully.
The companies argue that OpenAI has deliberately appropriated their intellectual property for commercial purposes. In their statement, they emphasised the public value of journalism and condemned OpenAI’s actions as illegal. OpenAI, however, defended its practices, stating that its models rely on publicly available data and comply with fair use and copyright principles. The firm also noted its efforts to collaborate with publishers and provide mechanisms for opting out.
The case follows a trend of lawsuits by various creators, including authors and artists, against AI companies over the use of copyrighted content, and the Canadian lawsuit does not name Microsoft, a major OpenAI backer. Separately, Elon Musk recently expanded a legal case accusing both companies of attempting to dominate the generative AI market unlawfully.
Italy’s data protection authority has issued a warning to publisher GEDI over sharing personal data with OpenAI, citing potential violations of EU privacy regulations. GEDI, part of the Agnelli family’s Exor group, entered into a strategic partnership with OpenAI in September to provide Italian-language content for ChatGPT users.
Under the deal, OpenAI’schatbot would feature GEDI’s attributed content and links, while its journalism could refine the AI’s accuracy. Concerns have arisen due to the sensitive nature of the archives, containing information on millions of individuals. The regulator highlighted that such data requires careful handling and warned of potential sanctions if EU rules are breached.
GEDI clarified that the partnership does not involve selling personal data and noted that the project is still under review. No editorial content has been shared with OpenAI to date, according to a company statement. Discussions with the watchdog are ongoing, with GEDI expressing hope for constructive dialogue to resolve concerns.
Representatives from OpenAI have not yet commented on the matter.
Alibaba has unveiled QwQ-32B-Preview, a new reasoning AI model designed to rival OpenAI’s o1 series. With 32.5 billion parameters and support for prompts up to 32,000 words, the model surpasses competitors in specific benchmarks, including logic puzzles and maths tests. Available for download under a permissive Apache 2.0 licence, it introduces robust reasoning capabilities but also exhibits limitations like language switching and occasional lapses in common sense.
The model incorporates test-time compute, enabling more thorough problem-solving by planning its steps before providing answers. However, such reasoning processes may result in slower responses. Like other AI models made by companies in China, QwQ-32B complies with local regulatory requirements, including constraints on politically sensitive topics, reflecting national ideological alignment.
Reasoning models like QwQ-32B mark a shift in AI development as traditional scaling laws show diminishing returns. Major firms, including Google, are exploring similar approaches, highlighting the race to innovate AI capabilities globally.
OpenAI and the Korea Development Bank (KDB) have partnered to support the growth of South Korea’s AI ecosystem. The collaboration aims to develop AI models specifically designed for the Korean language and enhance the country’s position in the global AI landscape.
KDB views AI as a critical driver of national competitiveness and will assist OpenAI in navigating the local market by acting as a coordinator for government affairs. The partnership reflects a shared vision to advance South Korea’s technological and economic future through AI innovation. That move also highlights South Korea’s commitment to becoming a leader in the AI industry, with OpenAI playing a key role in advancing these goals.
The growing impact of AI is also evident in South Korea’s search engine market, where AI-driven technologies are changing how users access information. Naver, the leading domestic search engine, has experienced a decline in market share, while global search engines like Google, which integrate AI features such as OpenAI’s ChatGPT, have seen growth.
Why does it matter?
That shift signifies a broader transformation in the digital landscape, as AI-enhanced search engines provide more personalised and summarised answers, moving away from traditional lists of information. The increasing adoption of AI in search engines underscores the growing influence of AI on various industries in South Korea.
Orange has entered a groundbreaking multi-year partnership with OpenAI, becoming the first European telecom company with direct access to pre-release versions of the company’s AI models. This collaboration will allow Orange to influence OpenAI’s development roadmap while ensuring secure hosting of AI infrastructure in Europe, according to the group’s AI chief, Steve Jarrett.
The partnership highlights the strategic importance of OpenAI’s widely used models, with over 50,000 Orange employees already integrating them into their work. Jarrett emphasised the financial and technological advantages of a direct relationship with OpenAI, boosting Orange’s position in the AI race.
In addition to the partnership, Orange is working with Meta and OpenAI to translate African languages like Wolof and Pular for customer support and broader non-commercial uses. The initiative aims to support governments, universities, and startups, expanding accessibility to underserved linguistic communities.
Orange, the French telecoms giant, has announced a partnership with OpenAI and Meta to enhance AI language models for translating regional African languages. The initiative will integrate West African languages into OpenAI’s ‘Whisper’ and Meta’s ‘Llama‘ systems, aiming to address the linguistic diversity in the region.
Set to launch in the first half of 2025, the project will foster better communication and inclusivity in communities with limited digital representation. Orange sees this as a significant step in leveraging AI to promote cultural and linguistic preservation.
The collaboration underscores the increasing focus on adapting technology for underserved regions. Both OpenAI and Meta bring advanced AI capabilities to help bridge communication gaps, with Orange spearheading the drive for multilingual accessibility.
OpenAI is allowing employees to sell up to $1.5 billion worth of shares to Japan’s SoftBank Group in a new tender offer, according to sources familiar with the deal. This follows SoftBank’s $500 million investment in OpenAI during an October funding round that valued the Microsoft-backed AI startup at $157 billion. Employees have until 24 December to decide whether to sell their shares, with the offer price matching the last funding round.
SoftBank’s Vision Fund 2 will finance the purchase, reflecting CEO Masayoshi Son’s strategy to increase his stake in AI ventures. Son has aggressively expanded his AI portfolio, including investments in OpenAI and chip startup Graphcore, as he positions the conglomerate to ride the AI boom.
OpenAI continues to attract global attention with its flagship product ChatGPT, which now boasts 250 million weekly active users. The company’s rapid growth and high valuation highlight its central role in shaping the AI revolution.
OpenAI is reportedly considering developing a web browser integrated with its chatbot and is in talks to enhance search features for platforms like Conde Nast, Redfin, and Priceline, according to The Information. These moves could position OpenAI as a competitor to Google in both the browser and search markets, further challenging the tech giant’s dominance.
OpenAI, led by Sam Altman, has already dipped into the search market with SearchGPT and has explored AI-powered collaborations with Samsung, a key Google partner, and Apple for its “Apple Intelligence” features. Meanwhile, Google faces increasing pressure, with the US Department of Justice suggesting it divest its Chrome browser to curb its search monopoly.
Although OpenAI’s browser plans remain in the early stages, the potential competition highlights a shift in the AI landscape, with Google and OpenAI vying to lead the generative AI race. Alphabet shares fell sharply following the report, reflecting market concerns about Google’s ability to maintain its stronghold.
OpenAI is under scrutiny after engineers accidentally erased key evidence in an ongoing copyright lawsuit filed by The New York Times and Daily News. The publishers accuse OpenAI of using their copyrighted content to train its AI models without authorisation.
The issue arose when OpenAI provided virtual machines for the plaintiffs to search its training datasets for infringed material. On 14 November 2024, OpenAI engineers deleted the search data stored on one of these machines. While most of the data was recovered, the loss of folder structures and file names rendered the information unusable for tracing specific sources in the training process.
Plaintiffs are now forced to restart the time-intensive search, leading to concerns over OpenAI’s ability to manage its own datasets. Although the deletion is not suspected to be intentional, lawyers argue that OpenAI is best equipped to perform searches and verify its use of copyrighted material. OpenAI maintains that training AI on publicly available data falls under fair use, but it has also struck licensing deals with major publishers like the Associated Press and News Corp. The company has neither confirmed nor denied using specific copyrighted works for its AI training.
