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On 2026-08-06 @ItzSuds said he initially (and incorrectly) concluded the AI-ad…

2026-08-06 · 23:45 UTC ·@ItzSuds ·1 min read

Brief

sudarshan (@ItzSuds) reports that after phone calls and Google searches he revised an earlier, incorrect view that the AI-ad opportunity was dead. He now believes advertiser demand exists but third-party AI ad tech will be TAM-constrained because major labs will internalize ad placement and most consumer chat apps are sex, role-play, GPT clones, or a few personal assistants — with enterprise tools unwilling to inject ads.

Why it matters

On 2026-08-06 @ItzSuds said he initially (and incorrectly) concluded the AI-ad space was dead because Gravity could only place ads in consumer sex bots and knock-off GPT apps.

Key details

  • After several phone calls and Google searches he now argues there's ample advertiser supply but the market is TAM-constrained: large AI labs will build ad tech in-house, limiting third-party opportunities.
  • He classifies existing consumer chatbot apps as sex, role-playing, ad-subsidized GPT clones, and personal assistants (which may build affiliate programs), while enterprise productivity tools will not inject ads — hence not enough apps to scale third-party AI ad tech; he also congratulated @leojamartinez.
Source evidence

I initially “concluded my research” into the space by incorrectly deciding that it was dead and impossible to invest in because the only AI apps Gravity could put ads in would be consumer sex bots & knock off GPT apps

And congrats to the man BTS who makes it all work @leojamartinez

nitter.net/itzsuds/status/1953246…

sudarshan (@ItzSuds)

My research has concluded after several phone calls & Google searches.

While the idea is sound & there’s infinite supply from advertisers, the large labs will build this in-house & there aren’t enough consumer chatbot apps coming in the future for this to work.

Existing consumer apps are for sex, role playing, ad-subsidized GPT, and personal assistants. All the rest are enterprise productivity tools that would never inject ads into their chat queries.

Personal assistants could work, but they will build their own affiliate programs and there won’t be enough of them to put ads in. Playing this forward, AI ad tech outside of the big labs seems like it will be TAM constrained by lack of apps to put ads in.

— https://nitter.net/ItzSuds/status/1953246361580933271#m