Koah Secures $5M to Integrate Ads into AI Applications
KOAH has raised $5 million in seed funding to integrate advertising into AI applications, according to TechCrunch. The startup aims to provide a sustainable monetization model by embedding ads within AI chats, targeting the 'long tail' of apps built on large AI models.
Koah's approach involves displaying contextually relevant ads during AI interactions, such as showing an UpWork ad when a user seeks startup advice. This strategy aims to reduce intrusive advertising and enhance user engagement. The company reports a 7.5% click-through rate, with early partners earning $10,000 in their first month.
The seed round was led by Forerunner, with participation from South Park Commons and AppLovin co-founder Andrew Karam. Koah's ads are already being used in apps like AI assistant Luzia, parenting app Heal, student research tool Liner, and creative platform DeepAI.
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