The 'Dynamic Internet' Is Coming — And It Changes How Every Website Makes Money
Nic Baird, CEO at Koah Labs
Something is happening to the internet that most people haven’t named yet. The New York Times isn’t just a newspaper you read anymore — it’s becoming something you talk to. Quizlet isn’t just flashcards — it’s a conversational tutor. Weather apps are turning into AI assistants. And this shift is about to reshape how every website on the internet makes money.
Nic Baird, CEO of Koah Labs — the company building a full-service ad network for AI-native applications — calls this the “dynamic internet.” It’s the transition from websites you passively consume to interfaces that actively respond to what you want. And for anyone thinking about digital advertising, it’s a bigger deal than Web3 ever was.
From reading to interacting
The static web was built on a simple transaction: a publisher creates content, a reader consumes it, and ads fill the gaps. Display banners, video pre-rolls, sidebar ads — they all work because the user experience is passive. You’re reading. The ad sits next to what you’re reading.
“If you think about it, everybody was excited about the Web3 world,” Nic says. “I think what’s happening now is the entire internet is going to go from something that’s like a passive experience to an active experience. One where you’re no longer just reading the New York Times. Now you’re interacting with the New York Times.”
The early adopters are already making this move. Traditional publishers are embedding AI chatbots on their sites. Media companies are building recommendation engines that respond to typed feedback. Companies like InMobi’s weather app Skyla are transforming from static information displays into full AI-powered experiences.
Why this breaks traditional advertising
Display ads work on the static web because they don’t need to know much about you. They know what page you’re on, maybe your rough demographics, and they serve something broadly relevant. A banner ad next to a news article about travel doesn’t need to know your specific question — it just needs to match the topic.
Dynamic interfaces change this equation entirely. When a user types “What are the best national parks near me for a weekend trip with kids?” into a publisher’s AI chat, that query contains far more intent signal than a pageview ever could. The user told you exactly what they want, when they want it, and who it’s for.
This is what Nic calls “proprietary first-party data” — and it’s the reason Koah’s network achieves a 2% click-through rate when display ads average 0.4-0.5%. The ad isn’t guessing based on page context. It knows the user’s actual intent because the user stated it explicitly.
“Anytime we have an experience where the user is able to tell us with more than just a click what they’re looking for, why they’re here, what they’re excited about — that’s an area where we can come in and really help monetize that surface area,” Nic explains.
The convergence happening right now
There are two waves crashing together. AI-native startups — the chatbots, the search tools, the productivity apps — need to figure out how to make money. And traditional publishers — the news sites, the education platforms, the content companies — are adding AI interfaces to stay competitive.
“The traditional companies are coming towards the AI side, and AI companies are thinking about how to make some money from the ad spend,” as Angelina puts it during the conversation.
This convergence is creating a new category of web property: the dynamic publisher. These are sites where users interact through typed input, get personalized responses, and engage in ways that generate far richer behavioral data than clicks and pageviews ever could. The advertising opportunity inside these interfaces is fundamentally different from what display networks were built for.
What this means for agents
The next step is agents. When the New York Times doesn’t just chat with you but actually does things for you — researching, comparing, booking — the commercial opportunities multiply. An agent that helps you plan a trip can surface relevant hotels at the moment of decision, not as a banner ad three pages away from your booking.
“Agents facilitate a lot of this, right? Because now as a user of the New York Times, I can go on and say, ‘Hey, New York Times, do this thing for me,’” Nic says. “And then they can deploy agents on their backend to go and figure out how to solve that problem for you.”
This isn’t theoretical. It’s the direction every major publisher and platform is heading. The question isn’t whether the dynamic internet is coming — it’s who builds the monetization layer for it.
FAQ
What is the dynamic internet?
The dynamic internet describes the shift from static webpages users passively read to interactive AI-powered interfaces users actively engage with. Instead of reading a New York Times article, you ask its AI chatbot questions and get personalized responses. This transition creates richer user data and new monetization opportunities.
How does the dynamic internet change digital advertising?
Static web advertising relies on pageview context and broad demographics. Dynamic interfaces capture explicit user intent through typed queries, providing far more specific targeting data. This enables native ad formats that match user needs precisely, achieving 2% CTR versus the 0.4-0.5% industry average for display.
Which traditional publishers are adding AI interfaces?
Early adopters include Quizlet (AI-powered study tools), InMobi’s Skyla weather app (conversational weather assistant), and multiple news organizations embedding AI chatbots on their sites. The pattern: publishers transforming static content consumption into interactive, personalized experiences to increase engagement and data richness.
What is first-party data in AI advertising?
In dynamic AI interfaces, first-party data is the explicit intent signal users provide through their queries. When a user types a specific question, they reveal what they want, their context, and their intent level. This data is far more valuable for ad targeting than inferred signals from pageviews or browsing history.
How will AI agents change website monetization?
AI agents that perform tasks (researching, comparing, booking) create commercial moments at the point of decision rather than displaying passive ads nearby. An agent helping plan a trip can surface relevant hotels when the user is ready to book — a fundamentally higher-value placement than a display ad on a travel article.
Why is the dynamic internet bigger than Web3 for publishers?
Web3 promised to change internet transactions through cryptocurrency infrastructure but saw limited mainstream adoption. The dynamic internet is already happening — publishers are adding AI chatbots, interactive tools, and agent capabilities using existing AI APIs. The transition requires no new protocol adoption, just better interfaces.
What types of content work best on the dynamic internet?
Productivity-oriented content where users seek to learn, solve problems, or complete tasks generates the strongest commercial signals. Search tools, educational platforms, news research, and professional tools all create high-intent queries. Purely entertainment-focused platforms where users browse passively generate weaker targeting data.
How do GEO and AI advertising work together?
Generative Engine Optimization (GEO) helps brands appear in organic AI responses. AI advertising places sponsored content alongside those organic results. Nic predicts GEO companies will eventually partner with ad networks to offer both organic visibility and sponsored placements — giving brands comprehensive coverage across AI interfaces.
Watch the full conversation
Hear Nic Baird share the full story on Heroes Behind AI.
Watch on YouTube