Monetizing Intelligence: Advertising and Subscription Design on LLM Platforms
Updated
Updated · arxiv.org · Oct 23
Monetizing Intelligence: Advertising and Subscription Design on LLM Platforms
1 articles · Updated · arxiv.org · Oct 23
Summary
A new study examines how large language model (LLM) platforms balance advertising, subscription pricing, and service quality.
Researchers found that advertising can fund broader access to AI services but may polarize user utility, with some benefiting and others facing higher prices or degraded quality.
The analysis suggests moderate advertising caps and improved compute efficiency can enhance consumer outcomes, making menu design central to LLM monetization strategies.