Microsoft is meeting with advertisers over Bing Chat ad plans

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In an exclusive post on Reuters, the news service is reporting that Microsoft has begun meeting with major advertisers to pitch plans to “allow paid links within responses to search results.”

The (major advertising) company said it is taking traditional search ads, in which brands pay to have their websites or products appear on search results for keywords related to their business, and inserting them into responses generated by the Bing chatbot, the ad executive said.

Microsoft is also planning another ad format within the chatbot that will be geared toward advertisers in specific industries. For example, when a user asks the new AI-powered Bing “what are the best hotels in Mexico?”, hotel ads could pop up, according to the ad executive.

Media agency Horizon Media, who also have received a demo of the new Bing, said that the links at the bottom of Bing Chat responses could be another place for ads, according to Horizon CVP Michael Cohen to Reuters:

“They seem intent on starting off immediately with paid ads integrated,” Cohen said, adding that Microsoft said more information about the strategy could come in early March.

During the initial media event, Microsoft CVP told reporters that ads would be there “from the start,” so it’s not surprising that the company is moving forward with monetization plans, but it’s been unclear just how ads in the new Bing would work, but that picture is becoming clearer as Microsoft pitches ad companies.