In today’s Digest we cover OpenAI hiring a Meta ad veteran to build its ads business, Apple planning to introduce ads in Maps, and X considering a new method to win back advertisers.

OpenAI hires Meta ad veteran

OpenAI has named David Dugan as vice president and head of global ads solutions, marking a clearer step towards building out its advertising business as it looks to expand revenue streams. Dugan joins from Meta, where he most recently oversaw global clients and agency partnerships. According to Dugan, the company intends to make the new advertising model within ChatGPT additive rather than disruptive.  He stated that the ad experience will be defined by clear  principles.

The appointment comes as OpenAI develops the underlying infrastructure for its ad offering, including in-house ad tech tools and early formats currently being tested within ChatGPT. 

Apple plans ads in Maps

Apple is reportedly planning to introduce advertising within its Maps app, as part of a wider effort to grow revenue from its services. People familiar with the matter said an announcement could come as early as this month, underscoring Apple’s increasing focus on monetising its digital ecosystem beyond hardware sales. The proposed system is expected to function in a similar way to Google Maps, allowing businesses to bid for sponsored placements tied to user search queries. 

X considers $200k incentive to win back advertisers  

X is seeking to win back advertisers that have scaled back or abandoned the platform, offering incentives worth up to USD$200,000 (£148,000) in added value, according to a leaked pitch deck. The proposal, described as a “return-to-platform” initiative, suggests advertisers could receive an additional 50% in value for every dollar spent up to the figure, although the precise form of that value whether credits, rebates, or discounts was not specified.

The renewed push comes as X continues attempting to rebuild its advertising business following a sharp decline in revenues after its 2022 acquisition by Elon Musk. Industry estimates indicate ad revenues nearly halved in the years following the takeover, amid concerns from brands over inadequate content moderation and misinformation.