OpenAI faces user backlash as ChatGPT app suggestions spark confusion over intrusive ads

Reviewed byNidhi Govil

21 Sources

Share

OpenAI triggered widespread concern when ChatGPT began displaying app suggestions for brands like Peloton and Target that appeared to be ads, even for paid subscribers. The company insists these are not advertisements but part of a third-party app integration feature announced in October. However, the lack of relevancy to user conversations has created confusion and threatens user trust.

OpenAI App Suggestions Trigger User Confusion and Concern

OpenAI found itself at the center of controversy after ChatGPT users spotted what appeared to be ads embedded within their conversations. The incident gained significant attention when Hyperbolic co-founder Yuchen Jin shared a screenshot on X (Twitter) showing ChatGPT suggesting the Peloton app during an unrelated discussion about an Elon Musk podcast featuring xAI

1

. The post, which has been viewed nearly 462,000 times, sparked immediate user backlash as Jin noted he was a paid subscriber to ChatGPT's $200-per-month Pro Plan

1

.

Source: Gadgets 360

Source: Gadgets 360

Another ChatGPT Plus subscriber reported seeing a Target shopping recommendation while asking about Windows BitLocker, prompting the frustrated response: "I'm in ChatGPT (paid Plus subscription), asking about Windows BitLocker, and it's F-ing showing me ADS TO SHOP AT TARGET"

3

. The lack of relevancy between these app suggestions and actual user queries created widespread confusion about whether OpenAI had begun inserting intrusive advertisements into its AI chatbot, even for paid subscribers who expect an ad-free experience.

Source: Engadget

Source: Engadget

OpenAI Denies Ads But Confirms App Discovery Feature Testing

OpenAI executives moved quickly to address the mounting concerns. Nick Turley, OpenAI's head of ChatGPT, stated on X that "there are no live tests for ads" and that "any screenshots you've seen are either not real or not ads"

5

. Daniel McAuley, OpenAI's data lead for ChatGPT, clarified that the Peloton placement was "only a suggestion to install Peloton's app" with "no financial component" involved

1

.

The company confirmed to multiple outlets that users had spotted one of the ways OpenAI had been "testing surfacing apps in ChatGPT conversations" as part of its third-party app integration platform announced at DevDay in October

1

3

. The app discovery feature was designed to allow apps to "fit naturally" into user conversations, with OpenAI partnering with pilot partners including Booking.com, Canva, Coursera, Figma, Expedia, Zillow, Target, and Walmart

1

3

.

Poor Relevancy Undermines User Experience and Trust

Despite OpenAI's explanations, the distinction between app suggestions and ads remained unclear to many users. McAuley acknowledged that "the lack of relevancy" made it "a bad and confusing experience" and that OpenAI was iterating on the suggestions and user experience

1

. Mark Chen, OpenAI's chief research officer, admitted the company "fell short" and noted that "anything that feels like an ad needs to be handled with care"

5

.

Chen announced that OpenAI has "turned off this kind of suggestion while we improve the model's precision" and is "looking at better controls so you can dial this down or off if you don't find it helpful"

5

. The inability for users to disable these app suggestions made them feel particularly intrusive, with one user threatening "an instant unsubscribe" if the practice continued

3

. The incident highlights the delicate balance OpenAI must strike between monetization efforts and maintaining user trust in its AI chatbot.

Signs Point to Future Advertising Despite Current Denials

While OpenAI denies current ads implementation, evidence suggests the company is exploring advertising as a revenue stream. Code discovered in a beta version of the ChatGPT Android app (version 1.2025.32) contained multiple references to "openai.feature.ads," including strings like "search ad," "search ads carousel," and "ad target"

2

. This discovery aligns with comments from Sam Altman, OpenAI's CEO, who stated on the OpenAI podcast that he's "not totally against" incorporating advertisements, citing Instagram ads as examples he finds "kinda cool"

2

.

Source: TechSpot

Source: TechSpot

The potential shift toward advertising comes as OpenAI faces financial pressure. According to The Information, the company posted revenue of $4.3 billion in the first half of 2025 but still recorded a net loss of $13.5 billion during that period

2

. Additionally, OpenAI has reportedly paused its advertising plans to focus on improving ChatGPT amid concerns about losing competitive ground to Google Gemini 3

3

. Turley acknowledged this possibility, stating that "if we do pursue ads, we'll take a thoughtful approach" and that "people trust ChatGPT and anything we do will be designed to respect that"

5

. For now, iPhone users have a workaround through Apple's integration with OpenAI, which doesn't use requests for model training or advertisements when used through Siri without a ChatGPT account

2

.

Today's Top Stories

TheOutpost.ai

Your Daily Dose of Curated AI News

Don’t drown in AI news. We cut through the noise - filtering, ranking and summarizing the most important AI news, breakthroughs and research daily. Spend less time searching for the latest in AI and get straight to action.

© 2025 Triveous Technologies Private Limited
Instagram logo
LinkedIn logo