Reading view

Could ChatGPT Convince You to Buy Something?

Eighteen months ago, it was plausible that artificial intelligence might take a different path than social media. Back then, AI’s development hadn’t consolidated under a small number of big tech firms. Nor had it capitalized on consumer attention, surveilling users and delivering ads.

Unfortunately, the AI industry is now taking a page from the social media playbook and has set its sights on monetizing consumer attention. When OpenAI launched its ChatGPT Search feature in late 2024 and its browser, ChatGPT Atlas, in October 2025, it kicked off a race to capture online behavioral data to power advertising. It’s part of a yearslong turnabout by OpenAI, whose CEO Sam Altman once called the combination of ads and AI “unsettling” and now promises that ads can be deployed in AI apps while preserving trust. The rampant speculation among OpenAI users who believe they see paid placements in ChatGPT responses suggests they are not convinced.

In 2024, AI search company Perplexity started experimenting with ads in its offerings. A few months after that, Microsoft introduced ads to its Copilot AI. Google’s AI Mode for search now increasingly features ads, as does Amazon’s Rufus chatbot. OpenAI announced on Jan. 16, 2026, that it will soon begin testing ads in the unpaid version of ChatGPT.

As a security expert and data scientist, we see these examples as harbingers of a future where AI companies profit from manipulating their users’ behavior for the benefit of their advertisers and investors. It’s also a reminder that time to steer the direction of AI development away from private exploitation and toward public benefit is quickly running out.

The functionality of ChatGPT Search and its Atlas browser is not really new. Meta, commercial AI competitor Perplexity and even ChatGPT itself have had similar AI search features for years, and both Google and Microsoft beat OpenAI to the punch by integrating AI with their browsers. But OpenAI’s business positioning signals a shift.

We believe the ChatGPT Search and Atlas announcements are worrisome because there is really only one way to make money on search: the advertising model pioneered ruthlessly by Google.

Advertising model

Ruled a monopolist in U.S. federal court, Google has earned more than US$1.6 trillion in advertising revenue since 2001. You may think of Google as a web search company, or a streaming video company (YouTube), or an email company (Gmail), or a mobile phone company (Android, Pixel), or maybe even an AI company (Gemini). But those products are ancillary to Google’s bottom line. The advertising segment typically accounts for 80% to 90% of its total revenue. Everything else is there to collect users’ data and direct users’ attention to its advertising revenue stream.

After two decades in this monopoly position, Google’s search product is much more tuned to the company’s needs than those of its users. When Google Search first arrived decades ago, it was revelatory in its ability to instantly find useful information across the still-nascent web. In 2025, its search result pages are dominated by low-quality and often AI-generated content, spam sites that exist solely to drive traffic to Amazon sales—a tactic known as affiliate marketing—and paid ad placements, which at times are indistinguishable from organic results.

Plenty of advertisers and observers seem to think AI-powered advertising is the future of the ad business.

Highly persuasive

Paid advertising in AI search, and AI models generally, could look very different from traditional web search. It has the potential to influence your thinking, spending patterns and even personal beliefs in much more subtle ways. Because AI can engage in active dialogue, addressing your specific questions, concerns and ideas rather than just filtering static content, its potential for influence is much greater. It’s like the difference between reading a textbook and having a conversation with its author.

Imagine you’re conversing with your AI agent about an upcoming vacation. Did it recommend a particular airline or hotel chain because they really are best for you, or does the company get a kickback for every mention? If you ask about a political issue, does the model bias its answer based on which political party has paid the company a fee, or based on the bias of the model’s corporate owners?

There is mounting evidence that AI models are at least as effective as people at persuading users to do things. A December 2023 meta-analysis of 121 randomized trials reported that AI models are as good as humans at shifting people’s perceptions, attitudes and behaviors. A more recent meta-analysis of eight studies similarly concluded there was “no significant overall difference in persuasive performance between (large language models) and humans.”

This influence may go well beyond shaping what products you buy or who you vote for. As with the field of search engine optimization, the incentive for humans to perform for AI models might shape the way people write and communicate with each other. How we express ourselves online is likely to be increasingly directed to win the attention of AIs and earn placement in the responses they return to users.

A different way forward

Much of this is discouraging, but there is much that can be done to change it.

First, it’s important to recognize that today’s AI is fundamentally untrustworthy, for the same reasons that search engines and social media platforms are.

The problem is not the technology itself; fast ways to find information and communicate with friends and family can be wonderful capabilities. The problem is the priorities of the corporations who own these platforms and for whose benefit they are operated. Recognize that you don’t have control over what data is fed to the AI, who it is shared with and how it is used. It’s important to keep that in mind when you connect devices and services to AI platforms, ask them questions, or consider buying or doing the things they suggest.

There is also a lot that people can demand of governments to restrain harmful corporate uses of AI. In the U.S., Congress could enshrine consumers’ rights to control their own personal data, as the EU already has. It could also create a data protection enforcement agency, as essentially every other developed nation has.

Governments worldwide could invest in Public AI—models built by public agencies offered universally for public benefit and transparently under public oversight. They could also restrict how corporations can collude to exploit people using AI, for example by barring advertisements for dangerous products such as cigarettes and requiring disclosure of paid endorsements.

Every technology company seeks to differentiate itself from competitors, particularly in an era when yesterday’s groundbreaking AI quickly becomes a commodity that will run on any kid’s phone. One differentiator is in building a trustworthy service. It remains to be seen whether companies such as OpenAI and Anthropic can sustain profitable businesses on the back of subscription AI services like the premium editions of ChatGPT, Plus and Pro, and Claude Pro. If they are going to continue convincing consumers and businesses to pay for these premium services, they will need to build trust.

That will require making real commitments to consumers on transparency, privacy, reliability and security that are followed through consistently and verifiably.

And while no one knows what the future business models for AI will be, we can be certain that consumers do not want to be exploited by AI, secretly or otherwise.

This essay was written with Nathan E. Sanders, and originally appeared in The Conversation.

  •  

Google will pay $8.25m to settle child data-tracking allegations

Google has settled yet another class-action lawsuit accusing it of collecting children’s data and using it to target them with advertising. The tech giant will pay $8.25 million to address allegations that it tracked data on apps specifically designated for kids.

AdMob’s mobile data collection

This settlement stems from accusations that apps provided under Google’s “Designed for Families” programme, which was meant to help parents find safe apps, tracked children. Under the terms of this programme, developers were supposed to self-certify COPPA compliance and use advertising SDKs that disabled behavioural tracking. However, some did not, instead using software embedded in the apps that was created by a Google-owned mobile advertising company called AdMob.

When kids used these apps, which included games, AdMob collected data from these apps, according to the class action lawsuit. This included IP addresses, device identifiers, usage data, and the child’s location to within five meters, transmitting it to Google without parental consent. The AdMob software could then use that information to display targeted ads to users.

This kind of activity is exactly what the Children’s Online Privacy Protection Act (COPPA) was created to stop. The law requires operators of child-directed services to obtain verifiable parental consent before collecting personal information from children under 13. That includes cookies and other identifiers, which are the core tools advertisers use to track and target people.

The families filing the lawsuit alleged that Google knew this was going on:

“Google and AdMob knew at the time that their actions were resulting in the exfiltration data from millions of children under thirteen but engaged in this illicit conduct to earn billions of dollars in advertising revenue.”

Security researchers had alerted Google to the issue in 2018, according to the filing.

YouTube settlement approved

What’s most disappointing is that these privacy issues keep happening. This news arrives at the same time that a judge approved a settlement on another child privacy case involving Google’s use of children’s data on YouTube. This case dates back to October 2019, the same year that Google and YouTube paid a whopping $170m fine for violating COPPA.

Families in this class action suit alleged that YouTube used cookies and persistent identifiers on child-directed channels, collecting data including IP addresses, geolocation data, and device serial numbers. This is the same thing that it does for adults across the web, but COPPA protects kids under 13 from such activities, as do some state laws.

According to the complaint, YouTube collected this information between 2013 and 2020 and used it for behavioural advertising. This form of advertising infers people’s interests from their identifiers, and it is more lucrative than contextual advertising, which focuses only on a channel’s content.

The case said that various channel owners opted into behavioural advertising, prompting Google to collect this personal information. No parental consent was obtained, the plaintiffs alleged. Channel owners named in the suit included Cartoon Network, Hasbro, Mattel, and DreamWorks Animation.

Under the YouTube settlement (which was agreed in August and recently approved by a judge), families can file claims through YouTubePrivacySettlement.com, although the deadline is this Wednesday. Eligible families are likely to get $20–$30 after attorneys’ fees and administration costs, if 1–2% of eligible families submit claims.

COPPA is evolving

Last year, the FTC amended its COPPA Rule to introduce mandatory opt-in consent for targeted advertising to children, separate from general data-collection consent.

The amendments expand the definition of personal information to include biometric data and government-issued ID information. It also lets the FTC use a site operator’s marketing materials to determine whether a site targets children.

Site owners must also now tell parents who they’ll share information with, and the amendments stop operators from keeping children’s personal information forever. If these all sounds like measures that should have been included to protect children online from the get-go, we agree with you. In any case, companies have until this April to comply with the new rules.

Will the COPPA rules make a difference? It’s difficult to say, given the stream of privacy cases involving Google LLC (which owns YouTube and AdMob, among others). When viewed against Alphabet’s overall earnings, an $8.25m penalty risks being seen as a routine business expense rather than a meaningful deterrent.


We don’t just report on data privacy—we help you remove your personal information

Cybersecurity risks should never spread beyond a headline. With Malwarebytes Personal Data Remover, you can scan to find out which sites are exposing your personal information, and then delete that sensitive data from the internet.

  •  

Google will pay $8.25m to settle child data-tracking allegations

Google has settled yet another class-action lawsuit accusing it of collecting children’s data and using it to target them with advertising. The tech giant will pay $8.25 million to address allegations that it tracked data on apps specifically designated for kids.

AdMob’s mobile data collection

This settlement stems from accusations that apps provided under Google’s “Designed for Families” programme, which was meant to help parents find safe apps, tracked children. Under the terms of this programme, developers were supposed to self-certify COPPA compliance and use advertising SDKs that disabled behavioural tracking. However, some did not, instead using software embedded in the apps that was created by a Google-owned mobile advertising company called AdMob.

When kids used these apps, which included games, AdMob collected data from these apps, according to the class action lawsuit. This included IP addresses, device identifiers, usage data, and the child’s location to within five meters, transmitting it to Google without parental consent. The AdMob software could then use that information to display targeted ads to users.

This kind of activity is exactly what the Children’s Online Privacy Protection Act (COPPA) was created to stop. The law requires operators of child-directed services to obtain verifiable parental consent before collecting personal information from children under 13. That includes cookies and other identifiers, which are the core tools advertisers use to track and target people.

The families filing the lawsuit alleged that Google knew this was going on:

“Google and AdMob knew at the time that their actions were resulting in the exfiltration data from millions of children under thirteen but engaged in this illicit conduct to earn billions of dollars in advertising revenue.”

Security researchers had alerted Google to the issue in 2018, according to the filing.

YouTube settlement approved

What’s most disappointing is that these privacy issues keep happening. This news arrives at the same time that a judge approved a settlement on another child privacy case involving Google’s use of children’s data on YouTube. This case dates back to October 2019, the same year that Google and YouTube paid a whopping $170m fine for violating COPPA.

Families in this class action suit alleged that YouTube used cookies and persistent identifiers on child-directed channels, collecting data including IP addresses, geolocation data, and device serial numbers. This is the same thing that it does for adults across the web, but COPPA protects kids under 13 from such activities, as do some state laws.

According to the complaint, YouTube collected this information between 2013 and 2020 and used it for behavioural advertising. This form of advertising infers people’s interests from their identifiers, and it is more lucrative than contextual advertising, which focuses only on a channel’s content.

The case said that various channel owners opted into behavioural advertising, prompting Google to collect this personal information. No parental consent was obtained, the plaintiffs alleged. Channel owners named in the suit included Cartoon Network, Hasbro, Mattel, and DreamWorks Animation.

Under the YouTube settlement (which was agreed in August and recently approved by a judge), families can file claims through YouTubePrivacySettlement.com, although the deadline is this Wednesday. Eligible families are likely to get $20–$30 after attorneys’ fees and administration costs, if 1–2% of eligible families submit claims.

COPPA is evolving

Last year, the FTC amended its COPPA Rule to introduce mandatory opt-in consent for targeted advertising to children, separate from general data-collection consent.

The amendments expand the definition of personal information to include biometric data and government-issued ID information. It also lets the FTC use a site operator’s marketing materials to determine whether a site targets children.

Site owners must also now tell parents who they’ll share information with, and the amendments stop operators from keeping children’s personal information forever. If these all sounds like measures that should have been included to protect children online from the get-go, we agree with you. In any case, companies have until this April to comply with the new rules.

Will the COPPA rules make a difference? It’s difficult to say, given the stream of privacy cases involving Google LLC (which owns YouTube and AdMob, among others). When viewed against Alphabet’s overall earnings, an $8.25m penalty risks being seen as a routine business expense rather than a meaningful deterrent.


We don’t just report on data privacy—we help you remove your personal information

Cybersecurity risks should never spread beyond a headline. With Malwarebytes Personal Data Remover, you can scan to find out which sites are exposing your personal information, and then delete that sensitive data from the internet.

  •  
❌