Pinterest Bets on AI Tools to Fend Off Chatbot Rivals

Core Insights - Pinterest is rapidly integrating artificial intelligence tools into its platform to address a declining advertising business and increasing competition from AI chatbots [1][3] Group 1: Business Challenges - The company is facing difficulties in measuring ad effectiveness and encouraging frequent user engagement compared to other social media platforms [3] - There are concerns that AI chatbots may divert users who would typically use Pinterest for activities like wedding planning [3] Group 2: Strategic Initiatives - Pinterest is enhancing its recommendation algorithms to better suggest ads and posts, resulting in a 10% improvement in advertisers' return on spending [7] - The company has initiated the rollout of a voice-based chatbot, which facilitates longer and more specific user inquiries, contributing to an increase in commercial searches [8] - Pinterest is actively filtering out AI-generated content, with its latest model flagging four times more such content than the previous version [9] Group 3: Workforce and Restructuring - In January, Pinterest announced layoffs of approximately 700 employees, representing about 15% of its workforce, as part of a shift towards AI-focused roles [10] - The restructuring plan emphasizes prioritizing AI-powered products and capabilities [11] Group 4: New Partnerships and Expansions - Pinterest is launching a shoppable TV partnership with Roku and has acquired the CTV performance advertising platform tvScientific to enhance its advertising capabilities [11] - The company is piloting a shoppable recipe experience in collaboration with Walmart [11]