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Token-Level Advertising

L5 · ResearcherResearcharXiv· 8/27/2026

Presents novel theoretical framework for generation-native advertising with provable game-theoretic guarantees and practical implementation.

AI Summary

Researchers propose LAMA, a -level advertising mechanism that embeds advertiser influence directly into AI generation processes while maintaining response quality.

Excerpt

Generative AI is transforming how people access information, challenging traditional advertising mechanisms built around predefined slots. Towards generation-native advertising, we propose the Latent Advertiser Mixture Auction (LAMA), a token-level advertising mechanism that embeds advertiser influence directly into the generation process. Advertisers report local continuation values that induce advertiser-specific next-token policies, from which the platform decodes through a latent mixture whi

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