Chasing 900 Million Users? Why Amazon Just Partnered With OpenAI For ChatGPT Ads

Amazon is partnering with OpenAI to allow brands advertising on its platform to run ads inside ChatGPT, marking a major step in the e-commerce giant's strategy to tap into the growing influence of AI-driven shopping and discovery.

The partnership will initially be available to select advertisers in the United States. Amazon will manage the advertising campaigns, while OpenAI's advertising system will determine where and when the ads are displayed.

The ads will appear as text or image placements below ChatGPT responses, according to Amazon.

Also Read | Layoffs Are Rising In Tech, But These Skills Are Helping People Unlock Better Pay

The deal gives Amazon advertisers access to a rapidly growing conversational platform. OpenAI said in February that ChatGPT had reached 900 million weekly active users. Its advertising business has also expanded quickly and recently reached an annualised revenue run rate of around $1 billion.

Also Read | OpenAI GPT-5.6 Now On AWS In India, Costs Up To 80% Less

Amazon said conversational advertising is becoming an important way for brands to reach consumers as more people use AI platforms to search for products and make purchasing decisions.

“With Access to ChatGPT Ads, advertisers can now extend their campaigns further into where their customers are actively spending time in conversational chat platforms,” Chris Conetta, director of omnichannel supply at Amazon's demand-side advertising platform, was reported as saying by CNBC.

The partnership is notable because Amazon has historically restricted access to its online marketplace from major AI platforms, including ChatGPT, Claude and Gemini. At the same time, the company has been developing its own AI-powered shopping tools.

Amazon has also been advertising directly on ChatGPT in recent months. Between April and August, it became the top retail advertiser on the platform, according to Sensor Tower data.

Also Read | What's Navier-Stokes? OpenAI Claims AI Solved 90-Year-Old Math Problem In 88 Hours

The latest agreement suggests Amazon increasingly views ChatGPT as an important advertising channel, even as it continues building its own AI shopping ecosystem.

For OpenAI, bringing Amazon's advertising network onto ChatGPT could further strengthen its emerging ad business and expand the range of brands competing for visibility within AI-generated conversations.

Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.