AI companies do not forget brands – and it costs them costs.
An interval week, Openai and Perplexity reminded everyone that in 2025, the AI not only concerned technology. This is a brand. Indignation of users concerning the latest updates to theatrical titles for attention – the benefits were rapid and public.
On the one hand: Openai replaced the old GPT models like -4o and O3 by GPT -5 without warning on August 7, that users loved it, causing indignation. The result: CEO Sam Altman has promised to restore the GPT-4O and increase the reasoning limits of GPT-5.
Openai has clearly forgotten that it is not only a technological business. This is part of a brand consumption relationship – something that is built on confidence.
As VP Research and Criteo AI chief, Liva Ralaivovola noted it: AI products stop being about technology and start to be on the brand relationship when user experience is assigned.
“At this stage, the user begins to think not only of what the product can do, but what the brand is behind,” said Criteo VP research and the head of AI, Liva Ralaivavola. “It is in the same way that Air Jordans has become more than shoes – experience and meaning behind them brought people from the brand.”
The Perplexity brand was also recently questioned when the company offered $ 34.5 billion to buy the Google Chrome browser on August 12. Probably. The Smart Ai Search Company had already been linked to acquisition talks with rumor with Apple and Meta, and launched an offer for Tiktok in the United States – none of which occurred.
Speaking specifically from the acquisition of proposed chrome, the communications manager of Perplexity, Jesse Dwyer, told Digiday that the candidacy of Perplexity for Chrome is serious serious and very relevant for all Internet users.
“Remember, the perplexity was requested by the Doj and Google to provide comments on the remedy phase of the case,” he said. “We believe that if the decision in the Force Google case to sell Chrome, we are the best possible guardians. Chrome and Chromium are fundamental for open Internet.”
However, fOr perplexity, landing of titles is talked about, but can slowly erode confidence in the business and its promises. Especially because it is already in the midst of copyright prosecution with News Corp, Forbes and the biggest Japanese newspaper, Yomiuri Shimbun.
“Leak of something as massive as an intention to buy Chrome, which holds 65% of the market, is not a relaxed blow,” said Bob Walczyk, CEO of Madconnect. “If you put this on the market, it should be because there is a clear strategic reason not only for the value of the shock. Without that, you risk telling the world that you make movements that you cannot deliver. This is exactly why perplexity loses credibility here.”
The common thread is a lack of understanding of what a brand means. Openai has underestimated the emotional loyalty that people had for specific models. Perplexity overestimated the good will generated by making great incredible movements. The two have missed the same reality: IA societies now operate in a world of the general public brand, where perception can be as critical as performance.
“A brand enters the room before the company,” said Walczyk. “In AI, the market moves so quickly that the brand often cannot keep the rate of product development. It is the nature of this space, a rapid change, constant breakthroughs. It does not leave many people to what these companies really do or in which they are different. This is exactly where a strong brand becomes essential. ”
In the case of Openai and perplexity, it is no longer just a question of building new features and iterations of the product. What is necessary is an appropriate brand strategy that marries the product with the emotional attachment of users.
“Great technology is important, but it is not enough,” said Debra Aho Williamson, founder and chief analyst of Sonata Insights. “People also support companies because they share the same values, they treat their customers well and are good citizens of the world.”
Take Apple, for example. Whenever the company launches a new iPhone, it is no longer just the phone itself, but all the experience and lifestyle it provides to its users.
“AI companies must adopt the same approach, shape launches, communications and product strategies to create experiences to which people feel attached, not just the tools they use.”
This means each deployment and each interaction with the public or with its users is important. Openai and Perplexity may have started purely focused on technology, but bringing users to their lap has finally changed the dynamics. Get the right technology and you are on the right track. But ensuring the confidence and loyalty of the brand is the only way for any business, including Openai and Perplexity, to maintain longevity.
As Williamson said: Openai and perplexity do not necessarily underestimate the emotional and cultural impact of their products, “but they probably underestimate the value of creation and promotion of emotional attachment to their products,” she said.
Brendan Norman, CEO and co-founder of Classify agreed.
“Loss of confidence and loyalty can quickly kill an entire business and / or instantly destroy market capitalization, which takes a time and precious resources to rebuild,” he said.
Digiday also contacted Openai to comment, and although they refuse to specifically comment on this story, they highlighted comments and articles published previously.
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