Most AI chatbots, such as ChatGPT, Gemini, and Claude, offer their services without displaying ads to users, relying instead on subscription-based business models. Additionally, services like Gemini are backed by powerful and wealthy organizations such as Google.
However, there have been growing concerns that AI models might begin displaying ads to users as a way to increase revenue because training these models, purchasing specialized chips, and building data centers require massive investments. As a result, some people are now speaking out against the introduction of ads in AI systems.
The billionaire and Shark Tank star Mark Cuban said on X that the government should make it "illegal" for AI models to offer advertising. Addressing the White House"s AI and crypto czar, Cuban also said we need to really examine referral fees.
Hey @DavidSacks , my one request is that we make it illegal for AI models to offer advertising. And, we need to really examine referral fees as well.
— Mark Cuban (@mcuban) July 26, 2025
The last thing we need is to have algorithms designed to maximize revenue driving LLM output and interactions.
They are…
"The last thing we need is to have algorithms designed to maximize revenue, driving LLM output and interactions." Cuban added. "They are already recommending brands and we don"t know if they are getting paid for it."
Cuban argues that since AI models have become an integral part of our lives, users should be able to trust that their responses are not biased toward maximizing revenue. He added that he"s comfortable with ads being shown in AI systems, as long as they are clearly labeled as advertisements and remain completely separate from user-generated conversations.
Mark Cuban also predicted that free versions of AI models will remain free for some time but will eventually be offered through bundled services provided by phone carriers, broadband providers, and device manufacturers.
"There is a winner take all attitude among the biggest models, so they will try to get their basic versions everywhere they can, on every device they can and upsell to subscriptions," he added.
Cuban"s concerns about advertising in AI models coincide with the introduction of Donald Trump"s AI Action Plan, which aims to boost AI development in the US by loosening regulations.