Companies generating unsolicited internet ads are getting scammed by AI.

MODERN PROBLEMS: Junk websites filled with AI-generated text are pulling in money from programmatic ads.

Over 140 major brands are paying for ads that end up on unreliable AI-written sites, likely without their knowledge. Ninety percent of the ads from major brands found on these AI-generated news sites were served by Google, though the company’s own policies prohibit sites from placing Google-served ads on pages that include “spammy automatically generated content.” The practice threatens to hasten the arrival of a glitchy, spammy internet that is overrun by AI-generated content, as well as wasting massive amounts of ad money.

Most companies that advertise online automatically bid on spots to run those ads through a practice called “programmatic advertising.” Algorithms place ads on various websites according to complex calculations that optimize the number of eyeballs an ad might attract from the company’s target audience. As a result, big brands end up paying for ad placements on websites that they may have never heard of before, with little to no human oversight.

To take advantage, content farms have sprung up where low-paid humans churn out low-quality content to attract ad revenue. These types of websites already have a name: “made for advertising” sites. They use tactics such as clickbait, autoplay videos, and pop-up ads to squeeze as much money as possible out of advertisers. In a recent survey, the Association of National Advertisers found that 21% of ad impressions in their sample went to made-for-advertising sites. The group estimated that around $13 billion is wasted globally on these sites each year.

Now, generative AI offers a new way to automate the content farm process and spin up more junk sites with less effort, resulting in what NewsGuard calls “unreliable artificial intelligence–generated news websites.” One site flagged by NewsGuard produced more than 1,200 articles a day.

Bots producing content for bots that negotiate ad rates for sites frequented by bot-run click farms is no way to run an internet, but it might be Peak AI.

h/t Stephen Green