Snapchat is rolling out sponsored AI agents

Source: Engadget

Overview

Snapchat has introduced AI Sponsored Snaps, a new format that lets brands appear in the app’s Chat tab through AI agents. These agents act as conversational advertisements, allowing users to ask brand‑related questions directly within chat.

How AI Sponsored Snaps Work

• Sponsored Snaps show up in the Chat tab with a light‑gray “Ad” label next to the brand name.
• Tapping the chat opens an AI agent that can answer questions about the brand’s products or services.
• Snap’s first partner for the initiative is Experian. The bot can discuss topics such as saving money, improving credit scores, and exploring loans and credit cards.

The AI agent is designed to guide users toward actions that benefit the sponsor, such as applying for a credit card or loan.

Industry Reaction

“Conversation is becoming the most valuable real estate in advertising,” said Snap’s Chief Business Officer, Ajit Mohan, in a press release.
“AI is accelerating that shift, turning chat into the place where people discover products, ask questions, and make decisions in real time. The real opportunity isn’t just putting ads into those environments, it’s designing formats that feel native to how people already talk.”

Background on Snap’s My AI

Snap reports that more than half a billion people have messaged its My AI feature since its launch three years ago. The chatbot has faced criticism for earlier missteps, including providing instructions on masking the smell of alcohol or cannabis and offering sexual content suggestions.

This article originally appeared on Engadget.
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