“If your website is referenced in a Perplexity search result where the company earns advertising revenue, you’ll be eligible for revenue share.”
How many qualifiers can be fitted into one sentence, all while providing next to no information?
To be clear, I’ve loved Wordpress ever since I migrated my old blog to it [checks archives] *18* years ago [damn…] I also fully get why they’re doing this – some money is better than none, it may work out, and it may actually lead to more traffic / engagement / visibility for Wordpress sites.
But this all feels a little like promises of scraps falling from the table of people who are getting scraps falling from an even higher table.
Perplexity currently claims to be making US$20 million from paid subscriptions to its pro service – about the only source of income it currently seems to have, despite its $2.5-3 billion valuation. If they’re now giving away some of that limited income, I can’t see an obvious path to profitability, given the hefty running costs of GenAI.
This doesn’t just go for Perplexity, but for all these GenAI tools:
1?? What’s the path to a sustainable content publishing-based business model (and all these GenAI companies are content companies) when being able to produce infinite content on demand means the traditional route for making money for these kinds of companies – advertising inventory – is also infinite?
2?? Value comes from scarcity. Content / as inventory is no longer scarce. How do you make something that’s not scarce seem valuable enough to get people to pay for it?
3?? And when all GenAI models offer more or less the same output, and more or less the same level of reliability, and successful features and approaches can be replicated by the competition in next to no time, how do you stand out from the crowd?
Being a content/tech geek I’ve been thinking about this a lot over the last couple of years. Perplexity’s approach is one I like (I did history at university, so I love a good list of sources, even if they’ve mostly just been added to make your work look more credible and most of them are irrelevant, as is often the case with Perplexity) – but I’m far from convinced it has money-making potential. As Wired has put it, Perplexity is a bullshit machine. How valuable is bullshit?
Basically, we’re firmly in the destruction phase of creative destruction. The creative part is yet to come
But still – at least the providers of the raw material these LLMs are so reliant on are starting to get thrown a few bones. That’s a step in the right direction – because as that recent Nature study made clear, the proliferation of AI-generated content risks surprisingly rapid synthetic data-induced model collapse.
Human-created content may no longer be king, but it remains vitally important. Without it – and a hefty dose of critical thinking – the whole system comes tumbling down.
