For everyone who knows how to use digital technologies, particularly artificial intelligence (AI), passive income is no longer simply a pipe dream after 2025. Over time, AI tools have created new, low-barrier ways to make money with little work, regardless of whether you’re a student, full-time professional, or someone looking into side projects.

This post will examine five useful, popular strategies for generating passive income with AI tools, including content monetisation, affiliate marketing, YouTube automation, and more. Depending on your interests and level of expertise, we will also assist you in selecting the appropriate tools.

1. Start a Faceless YouTube Channel Using AI Tools

YouTube automation is one of the hottest AI-powered income streams in 2025. With the right tools, you don’t need to show your face, record your voice, or even edit the videos yourself.

Recommended AI Tools:

  • Pictory AI: Converts blog posts or scripts into full videos with AI voiceovers
  • Synthesia: Create realistic avatar videos from text
  • ElevenLabs: Realistic AI voiceovers (great for narration)
  • ChatGPT / Jasper AI: Generate engaging video scripts in any niche
  • Canva Magic Studio: Create thumbnails and animations

Strategy:

  1. Pick a profitable niche: motivation, AI tools, luxury lifestyle, health tips
  2. Use ChatGPT to write scripts
  3. Turn scripts into videos with Pictory or Synthesia
  4. Create eye-catching thumbnails in Canva
  5. Schedule uploads and optimise for SEO

Once your channel gets monetised (1,000 subscribers + 4,000 hours watch time), it can generate ad revenue, affiliate income, and even sponsorships passively!

2. Launch an AI-Powered Affiliate Marketing Blog

Affiliate marketing is a powerful way to earn commission by recommending products. With AI tools, you can now build an entire blog, write articles, and even generate SEO content without being a professional writer.

Recommended AI Tools:

  • WordHero / Jasper AI: Write product reviews, comparison articles
  • SurferSEO: Optimise blogs to rank on Google
  • Notion AI: Organise content calendar, ideas, and blog outlines
  • ChatGPT: Generate beginner guides and FAQs
  • Canva: Design social post teasers and featured blog graphics

Strategy:

  1. Pick a niche (AI tools, beauty products, software reviews)
  2. Write informative, honest blog posts using Jasper/ChatGPT
  3. Optimise them with SurferSEO
  4. Insert your affiliate links (from WarriorPlus, Amazon, etc.)
  5. Drive traffic from Pinterest, YouTube Shorts, or Google

With time, your blog builds authority and generates recurring affiliate commissions, 24/7.

3. Create and Sell Digital Products with AI

Digital products like eBooks, templates, planners, or online courses can be made with the help of AI, then sold passively through your website or marketplaces.

Recommended AI Tools:

  • ChatGPT / Notion AI: Write eBooks or info guides
  • Canva: Design lead magnets, templates, and checklists
  • Tactiq.io + Notion AI: Turn Zoom calls into structured courses
  • Designrr: Convert blog posts into downloadable eBooks
  • Gumroad / Payhip: Sell products easily

Strategy:

  1. Use AI to generate a useful guide or checklist (e.g., “Beginner’s Guide to AI Tools”)
  2. Format and design it with Canva
  3. Sell it on Gumroad or bundle it as a freebie for email sign-ups
  4. Upsell other tools, courses, or services

This method allows you to earn while you sleep, as customers buy your product on autopilot.

4. Monetise AI-Generated Content on Medium or Substack

If you enjoy writing but don’t want to write every day, let AI assist you in publishing content that pays. Platforms like Medium and Substack offer revenue sharing for engaging written content.

Recommended AI Tools:

  • ChatGPT / Claude AI: Generate full-length blog posts
  • Grammarly: Edit and humanise content
  • Hemingway Editor: Improve readability
  • Canva Docs: Create illustrated content
  • Zapier: Automate posting/scheduling

Strategy:

  1. Pick a topic you can write consistently about (AI trends, self-growth, finance)
  2. Use AI to help you generate weekly posts
  3. Monetise via the Medium Partner Program or Substack newsletters
  4. Promote via Twitter, LinkedIn, or Reddit

It’s low-cost, low-risk, and if your content connects, it builds long-term income potential.

5. Build an AI Tool Comparison Website (Niche Authority Site)

In 2025, more people are searching “Which AI tool should I use for ___?”
You can earn passive income by creating a niche site that compares and recommends AI tools.

Recommended AI Tools:

  • ChatGPT: Research features and write tool comparisons
  • Jasper: Product reviews with custom tone
  • Elementor (WordPress): Build a beautiful comparison-style site
  • Thrive Architect or Kadence WP: Add smart blocks, pricing tables, review boxes
  • Rank Math SEO: Optimize each post for ranking

Strategy:

  1. Create tool comparison articles: “Jasper vs Copy.ai”, “Best AI for real estate”
  2. Add affiliate links in your call-to-actions
  3. Optimize for Google search
  4. Share content on YouTube Shorts or Pinterest to drive free traffic

Over time, this becomes a digital asset that earns traffic and commissions on autopilot.