The use of gen-AI to create content is not inherently problematic, but the lack of disclosure is. Research shows a growing preference among consumers for human-created journalism content, and the poor quality of some gen-AI content could discourage brands from advertising against it. However, when used and disclosed appropriately, gen-AI can offer positive brand differentiation. For example, BuzzFeed Inc. and G/O Media have both experimented with gen-AI technology and been open about their efforts, mitigating potential reputational risk while taking advantage of the technology's capabilities.
Key takeaways:
- Sports Illustrated and other publishers have been found to be using generative artificial intelligence (gen-AI) to create content under the bylines of fake staff writers, leading to a decline in trust and potential loss of revenue.
- The lack of transparency in the use of gen-AI has led to a 20% drop in the share price of the Arena Group, which operates Sports Illustrated, and could potentially discourage brands from advertising against such content.
- Research from Ipsos indicates that the percentage of consumers who prefer human-created journalism content over AI-created content has increased from 69% to 74% between February and September.
- While the use of gen-AI can offer positive brand differentiation when disclosed appropriately, concealing its use can lead to loss of trust and audience, negatively impacting the business. Companies like BuzzFeed Inc. and G/O Media have been open about their use of gen-AI, mitigating potential reputational risks.